Transmission Congestion Management in Bilateral Markets: An Interruptible Load Auction Solution

Journal article, 2005

This paper demonstrates that appropriate invocation of interruptible loads by the independent system operator (ISO) can aid in relieving transmission congestion in power systems. An auction model is proposed, for an ISO operating in a bilateral contract dominated market, for real-time selection of interruptible load offers while satisfying the congestion management objective. The proposed congestion management scheme using interruptible loads can specifically identify load buses where corrective measures are needed for relieving congestion on a particular transmission corridor. The N − 1 contingency criterion has been taken into account to simulate various cases, and hence, examine the effectiveness of the proposed method. It has been shown that the method can assist the ISO to remove the overload from lines in both normal and contingency conditions in an optimal manner.