A contribution of experimental economics toward characterization of the use of market power in oligopolisitc markets

Despite the numerous researches about imperfect competition, the market power remains difficult to quantify using traditional economics methods. In this paper, we propose an experimental economics design and outline some ways of analysis of its results toward characterization of the use of market power. A simple system with two regions and a limited interconnection transfer capacity allocated by an implicit auction is studied. Depending on the experiments two or three subjects share equitably the production capacity in one region, while the production capacity is equitably shared among 5 subjects leading to a more competitive situation in the second one. In both regions, we observe a market price that is different from the theoretical results allowing a quantification of the use of market power. Results are also analyzed based on a characterization of the subjects' behaviour. Further the impact of subjects' behaviour on the market price evolution is described.experimental economics, market power, electricity markets, oligopolistic markets

On the Fairness of Centralised Decision-Making Strategies in multi-TSO Power Systems

In this paper, we consider an interconnected power system, where the different Transmission System Operators (TSOs) have agreed to transferring some of their competences to a Centralised Control Center (CCC). In such a context, a recurrent difficulty for the CCC is to define decision-making strategies which are fair enough to every TSO of the interconnected system. We address this multiobjective problem when the objective of every TSO can be represented by a real-valued function. We propose an algorithm to elect the solution that leads to the minimisation of the distance with the utopian minimum after having normalised the different objectives. We analyse the fairness of this solution in the sense of economics. We illustrate the approach with the IEEE 118 bus system partitioned in 3 areas having as local objective the minimisation of active power losses, the maximisation of reactive power reserves, or a combination of both criteria.multi-area power system, centralised control, multi-objective optimisation, fairness.

La traçabilité de l'électricité : une méthode équitable pour l'allocation des coûts de transmission

International audienceDans le contexte international de l'ouverture des marchés de l'électricité, le volume croissant d'échanges ne permet leur tarification équitable que par le biais d'une estimation des responsabilités physiques des acteurs. Or, du fait de l'impossibilité d'affecter « physiquement » les transits aux acteurs, différentes méthodes peuvent être utilisées. Soucieux de définir une traçabilité équitable, ce papier présente une nouvelle méthode pour déterminer les échanges bilatéraux équivalents entre générateurs et consommateurs. Elle est basée sur le calcul de distances électriques équivalentes et la prise en compte des pertes dans la répartition. Ses résultats sont présentés et comparés à ceux d'autres méthodes de traçabilité dans le cas d'un réseau standard

External Network Modeling for MVAr Scheduling in Multi Area Power Systems

International audienceMulti area power systems work most often with a poor inter-regional coordination about reactive power concerns. Transmission system operators typically do not possess a detailed knowledge about voltage profile across interconnected power systems. In this context, reactive power scheduling may be inefficient and inter-regional reactive power flows become a decisive issue. This inefficiency, associated with economic constraints and increasing stress on interconnection lines, may lead to conflicts, which could be partially avoided with a better scheduling strategy. In addition to inter-utility agreements, part of the solution could be to use appropriate external network modeling. Different modeling are thus presented in this paper and illustrated with an IEEE 118 bus system with 2 separately controlled regions, whose scheduling objective is to minimize active power losses. The regional scheduling process is described and the state of the interconnected power system is compared with a global optimization. Finally, the influence of the external network modeling parameters and the accuracy of their forecast is commented

Improved control strategy to mitigate electromechanical wave propagation using PSS

International audienc

Impact of Delays on a Consensus-based Primary Frequency Control Scheme for AC Systems Connected by a Multi-Terminal HVDC Grid

International audienceThis paper addresses the problem of sharing primary frequency control reserves among nonsynchronous AC systems connected by a multi-terminal HVDC grid. We focus on a control scheme that modifies the power injections from the different areas into the DC grid based on remote measurements of the other areas' frequencies. This scheme is proposed and applied to a simplified system in a previous work by the authors. The current paper investigates the effects of delays on the control scheme's effectiveness. The study shows that there generally exists a maximum acceptable delay, beyond which the areas' frequency deviations fail to converge to an equilibrium point. This constraint should be taken into account when commissioning such a control scheme

On the Fairness of Centralised Decision-Making Strategies in multi-TSO Power Systems

International audienceIn this paper, we consider an interconnected power system, where the different Transmission System Operators (TSOs) have agreed to transferring some of their competences to a Centralised Control Center (CCC). In such a context, a recurrent difficulty for the CCC is to define decision-making strategies which are fair enough to every TSO of the interconnected system. We address this multiobjective problem when the objective of every TSO can be represented by a real-valued function. We propose an algorithm to elect the solution that leads to the minimisation of the distance with the utopian minimum after having normalised the different objectives. We analyse the fairness of this solution in the sense of economics. We illustrate the approach with the IEEE 118 bus system partitioned in 3 areas having as local objective the minimisation of active power losses, the maximisation of reactive power reserves, or a combination of both criteria

Probabilistic computation of wind farm power generation based on wind turbine dynamic modeling

This paper addresses the problem of predicting a wind farm's power generation when no or few statistical data is available. The study is based on a time-series wind speed model and on a simple dynamic model of a DFIG wind turbine including cut-off and cut-in behaviours. The wind turbine is modeled as a stochastic hybrid system with three operation modes. Numerical results, obtained using Monte-Carlo simulations, provide the annual distribution of a wind farm's active power generation. For different numbers of wind turbines, we compare the numerical results obtained using the dynamic model with those obtained considering the wind turbine's steady-state power curve. Simulations show that the wind turbine's dynamics do not need to be considered for analyzing the annual distribution of a wind farm generation.Comment: This file is the final version, which will appear in the CD-ROM proceedings. (A few minor modifications with respect to version 2 of the same document on HAL.

A contribution of experimental economics toward characterization of the use of market power in oligopolisitc markets

International audienceDespite the numerous researches about imperfect competition, the market power remains difficult to quantify using traditional economics methods. In this paper, we propose an experimental economics design and outline some ways of analysis of its results toward characterization of the use of market power. A simple system with two regions and a limited interconnection transfer capacity allocated by an implicit auction is studied. Depending on the experiments two or three subjects share equitably the production capacity in one region, while the production capacity is equitably shared among 5 subjects leading to a more competitive situation in the second one. In both regions, we observe a market price that is different from the theoretical results allowing a quantification of the use of market power. Results are also analyzed based on a characterization of the subjects' behaviour. Further the impact of subjects' behaviour on the market price evolution is described

Apprentissage par renforcement appliqué à la commande des systèmes électriques

International audienceCet article propose une revue de littérature concernant les applications de l'apprentissage par renforcement à la commande des systèmes électriques. L'apprentissage par renforcement a pour caractéristique principale de résoudre des problèmes de commande optimale à partir de la seule observation des trajectoires du système. Il présente l'intérêt de ne pas requérir de connaissance à priori sur la dynamique du système à commander et convient ainsi aux problèmes de commande des systèmes complexes. Dans un premier temps, l'article détaille les caractéristiques des problèmes auxquels l'apprentissage par renforcement s'applique, puis cette technique est décrite