Tracing based Loss Allocation to Generators in Deregulated Power Systems

Deregulation is the major trend in the electric power industry throughout the world. The main focus in deregulated system operation is to optimize the system welfare by introducing competition, mainly, among generators. The grid operator is required to know how the power offered by the generators is reaching the load; for which the power flow is to be traced along the lines. Tracing of electricity plays very important role in the open market, as it increases the clarity in open market and promote efficient system. In this paper, tracing based loss allocation methodology is developed to allocate the transmission losses to generators alone. This method works based on the principle of power flow tracing which in turn uses proportional sharing principle. The effectiveness of the proposed loss allocation methodology is tested on standard IEEE-5 bus, IEEE-30 bus and real time Indian-24 bus systems and the loss allocation results are also compared with the existing Bialek method.