Research on the environment & economic indicators for electricity trading

Abstract

In this paper, the environmental and economic indicators based on the reactive power pricing are proposed so as to formulate the novel environmental economic power dispatch (NEED) problems for electricity trading. Here, a new way of calculating total cost is proposed based on the reactive power pricing instead of the pure fuel cost, which leads to the NEED problems. In addition, an improved tunicate swarm algorithm (ITSA) is proposed to deal with the NEED problems. Different from the original tunicate swarm algorithm (TSA), adaptive weight parameter and mutation process are used to improve the disadvantages of TSA which converges too fast and easily falls into local optimum. In combination with the Pareto dominance rule, the ITSA can be more effective in dealing with the NEED problems. In order to examine the performance of the ITSA, simulation tests of ITSA, TSA, and particle swarm optimization (PSO) are conducted in IEEE30 node system. During the experimental process, optimized objective functions include total cost considering reactive cost, pollution emission and power loss. The final comparison results show that the ITSA is able to get better distributed Pareto front (PF) and superior best compromise solution (BCS), which proves the high efficiency of the ITSA in dealing with the NEED problems.