Game-theory-based generation maintenance scheduling in electricity markets

Abstract

This paper presents a novel approach to the (generation maintenance scheduling) GMS problem in electricity markets. The main contribution of this study is the modeling of a coordination procedure for an (independent system operator) ISO, based on a game-theoretic framework for the GMS problem. The GMS process of generation companies (Gencos) is designed as a non-cooperative dynamic game, and the Gencos' optimal strategy profile is determined by the Nash equilibrium of the game. The coordination procedure performed by the ISO is characterized by the use of a reliability assessment and a so-called ‘rescheduling signal’. A numerical example for a three-Genco system is used to demonstrate the applicability of the proposed scheme to the GMS problem. The results obtained indicate that the GMS of a profit-oriented Genco can be modified to satisfy the reliability requirements of the ISO.