A Study Of Loss Allocation Method In Bilateral Trades Electrical Market

It is one of the most important and essential principles to keep competition fair in electricity market. The transmission losses affect the participators largely. It is one important issue to establish scientific and reasonable loss allocation method. From the point of view to form impartial competitive market, the issue of the loss allocation is studied deeply in this paper. The basic ideas and fundamentals are analyzed. The existed loss allocation methods are studied and their advantage and shortfall and applicability are compared. The main problems of loss allocation in the bilateral trades electrical market are put forward. Based on game theory, a study of loss allocation in the bilateral trades electrical market is carried through. The calculation result of the example proves the validity of this method. At last, the prospect of the loss allocation methods is advanced.