Economic benefit evaluation of multi-terminal VSC HVDC systems with wind farms based on security-constrained optimal power flow

Abstract

This paper investigates the economic benefits of multi-terminal VSC HVDC systems where large scale wind farms are installed. The comparison between multi-terminal VSC HVDC systems and point-to-point VSC HVDC systems in economic aspects is the main topic. Security-constrained optimal power flow analysis is carried out considering the N-1 criterion in mixed AC / VSC HVDC power system models in Japan. Payback period index is adopted for the economic evaluations. A new idea of both wind power and AC grid power transmission through multi-terminal systems is suggested. The initial investment costs of the multi-terminal VSC HVDC systems can be paid back earlier than those of the point-to-point VSC HVDC systems due to higher system capacity factor.