Studies On The Wheeling Cost In Electricity Market

In recent years, utility industries in several countries have been forced to undertake deregulation to introduce competitiveness in their generation, transmission, and distribution. Transmission open access is one of the essential issues and it therefore needs special attention. The once centralized method must be remodeled to adapt to the new market structure. It is the key stage for Chinese electricity commercial operation. Based on the practical problem of wheeling fee in electricity market, this paper researched the component of wheeling fee and decided the marginal cost analysis through comparison of various methods at present. Based on marginal analysis and flow calculations, this paper puts forward the wheeling cost model. This paper introduced game theory to analysis wheeling cost, discussed a cooperative game model, introduced a few game models in electricity market and proved the probabilities of cooperation among wheeling businesses. Only cooperation of wheeling business can the resources be validly used to improve benefit. Along with the cooperation, it bring out question that how to distribute the benefit among wheeling businesses. This paper puts forward four distributions: proportion, core, nucleolus and Shapley value. Through the research of wheeling cost and path-choosing, this paper found a scheme to minimize wheeling cost. Using Delphi 5.0, this paper exploited the software which has three functions: flow calculation, wheeling cost calculation and distribution of cooperation.