Reliability-Constrained Power System Expansion Planning: A Stochastic Risk-Averse Optimization Approach

This work presents a methodology to incorporate reliability constraints in the optimal power systems expansion planning problem. Besides Loss Of Load Probability (LOLP) and Expected Power Not Supplied (EPNS), traditionally used systems, this proposes use of risk measures VaR (Value-at-Risk) CVaR (Conditional Value-at-Risk), widely financial markets. The explicit consideration problem can be an extremely hard task and, minimize computational effort, applies Benders decomposition technique splitting into investment two subproblems evaluate system's operation cost index. subproblem is solved by Stochastic Dual Dynamic Programming (SDDP) Monte Carlo simulation. proposed applied real Bolivian system.