An agent-based electrical power market

ABSTRACT

This demonstration shows an agent-based model for the electricity power market, in which the optimal power flow is determined in a bottom-up fashion. Here, each agent controls a single electrical node consisting of several power generators, loads (consumer demand), and is connected to neighbouring nodes through transmission lines. Furthermore, each of the components has associated physical constraints, such as the line and generators' capacities. Through a process resembling tatonnement in markets, the optimal system solution which maximises social welfare is reached within a few iterations. The demonstrator visualises this process and also shows how the various constraints affect the system behaviour and how this changes with different settings.

REFERENCES

• 1: J. Cerda Jacobo and D. De Roure. A decentralised DC optimal power flow. In Proceedings of the Third International Conference on Electric Utility Deregulation and Restructuring and Power Technologies, Nanjing, China, April 6--9 2008. IEEE Power Engineering Society.
• 2: J. Cerda Jacobo and D. De Roure. A graph-based decomposition method for quadratic separable programs. In SIAM Conference on Optimization 2008, Boston, Massachussets, USA, May 10--13 2008.
• 3: J. Nocedal and S. Wright. Numerical Optimization. Springer-Verlag, 2nd edition, 2006.
• 4: M. Shahidehpour, H. Yamin, and Z. Li. Market Operations in Electric power Systems - Forecasting, Scheduling, and Risk Management. John Wiley & Sons, Inc., 2002.

INDEX TERMS

Primary Classification:
  I. Computing Methodologies
  I.2 ARTIFICIAL INTELLIGENCE
        I.2.11 Distributed Artificial Intelligence

Additional Classification:
  G. Mathematics of Computing
  G.1 NUMERICAL ANALYSIS
      G.1.6 Optimization

General Terms:
Algorithms, Economics

Keywords:
distributed constrained optimization, electrical power markets, quadratic separable programming