Reactive power market clearing scheme

After deregulation of electricity markets, supply of ancillary services such as reactive power supply is priced separately. However, unlike real power supply, procedures for costing and pricing reactive power supply are still evolving. My thesis proposes a new reactive power supply market clearing scheme. The elements that participate in the generation and transfer of reactive power are analyzed and priced for their services. These include generators, transmission system elements such as reactive power sources and transformers. The pricing scheme for the service rendered by a transformer is based upon its action of tap shifting.;This work formulates the reactive power market clearing scheme as a non-linear mixed integer programming problem and solves it using a successive mixed integer linear programming (MILP) technique. The use of MILP lends robustness to the proposed solution method. The IEEE 6-bus and 300-bus systems are used to test the market clearing scheme. They serve to demonstrate the computational speed and rigor of the proposed method.