LD Part 1 7

Economic Load Dispatch
Dr. Gauri Shankar

Assistant Professor
Department of Electrical Engineering
IIT(ISM), Dhanbad
Outlines
• Basics of non-linear optimization
• Economic load dispatch
•without constraints and without

considering TL
•with constraints and without
considering TL
•with constraints and considering
TL 2
Introduction
 Voltage and delta information from load flow

 Different plant has different location and fuel cost
 Normally, PG>PL+Losses >>>>> provides opportunities of
Scheduling
 In an interconnected power system, aim is to schedule
generators’ active and reactive power scheduling such that
operating cost is minimum
 Thus allowing generators’ active and reactive power to vary
within certain limits so as to meet particular load demand
with minimum fuel cost
 This is called as optimal power flow (OPF)
3
Introduction
 OPF can be achieved by minimizing selected objective

function while maintaining acceptable performance of the
system
 Objective function is also known as cost function
 Objective function may include economic aspect, security
aspect and other
 In this course we will see only economic dispatch of real
power generation only.
4
Nonlinear Function Optimization (NFO)
 NFO is part of broader class of optimization called Nonlinear

programming (NLP)
 Multivariable calculus used as mathematical tool
 The necessary condition to minimize the cost function
 By setting first derivative of the above function zero
Or Or
5
 is referred as gradient vector.
 The term associated with the second derivative is given by
 The above equation results in a symmetric matrix called the

Hessian matrix of the function.
6
 Steps for finding the minimum of the unconstrained
function
a) Set its partial derivative equal to zero and solve the

parameters values.
b) Find second partial derivative. Among the sets of

parameter values obtained, those at which the matrix of
second partial derivative of the cost function is positive
definite are local minima.
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8
 The solution is obtained as
 The function evaluated at the above point yield the
value 2
 To check whether the above solution or point is
minimum or not, second derivatives is obtained and
Hessisan matrix formed.
 Eigen values of H is found as 1.55, 4.0 and 6.45 which

are all positive. Hence, the matrix H is positive definite
matrix and the above solution is a minimum point 9
Constrained parameter optimization

Considering equality constraints
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11
Equation (5) is the original constraint equation
Example: 2
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14
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16
To distinguish these points, the second

derivative are obtained and the Hessian
matrices are evaluated at these points
The matrix with positive eigenvalues is a
positive definite matrix and the parameters
corresponds to the minimum point
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. Nonlinear Function Optimization (NFO)
In many problems, a direct solution is not possible and the above

equations are then solved iteratively.
Simple search method is to Assume a value of λ and compute f
- If f is zero, the estimated λ corresponding to the optimal solution.

- If f ≠0, depending on f is positive or negative, λ is increase or decrease and updated
solution is obtained.
- Process continues until f is within specified accuracy.
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• For iterative solution, NR method is the best

approach.
• Referring previous problem, from the first two
equations x and y are found as
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• Above nonlinear equation in terms of λ and

can be solved by the Newton-Raphson
method. The Newton-Raphson method is a
successive approximation procedure based on
an initial estimate of the unknown and the use
of Taylor’s series expansion. For a one-
dimensional case,
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• Let us assume an initial guess for λ as 0.4
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Constraint Parameter Optimization

Considering Inequality Constraints
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• Efficiency of the generators, fuel costs and the
transmission losses are the factors which affect
the power generation at the minimum cost.
• Even most efficient generators may not guarantee
the minimum cost as it may be located in the
area where fuel cost is high
• On the other hand, if the power plant is located
far away from the load centres, then the
transmission may be higher, thereby, resulting in
overly uneconomical
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• Therefore, the objective is to find optimal
generations of each plant so that the
operating cost is minimum.
• Operating cost plays an important role in

economic scheduling.
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• The input to the thermal plant is generally
measured in Btu/h and output in MW. A
simplified input-output curve of a thermal unit is
known as heat-rate curve.
• Heat rate is a term commonly used in power
stations to indicate the power plant efficiency. It
is the inverse of efficiency and its lower value is
desirable
• Heat-rate=Thermal Energy In/Electr. Energy Out
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• The input to the thermal plant is generally
measured in Btu/h and output in MW. A
simplified input-output curve of a thermal unit is
known as heat-rate curve.
• Heat-rate is a term commonly used in power
stations to indicate the power plant efficiency. It
is the inverse of efficiency and its lower value is
desirable
• Heat-rate=Thermal Energy In/Electr. Energy Out
• Or, a simplified input-output curve of a thermal
unit is known as Heat-rate curve
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 Converting the ordinate from heat-rate curve
will result in fuel-cost curve.
 Fuel cost of one generating plant includes the
summation between operating and
maintenance cost (OM), output of generator,
and loss of system
 In all practical cases, fuel cost of the generator
i is represented as quadratic function of real
power generation.
37
(2.1)
Alpha: Operation and maintenance cost

Beta: Represent fuel cost
Gamma: Represent measure of loss
An important characteristic is obtained by

plotting the derivative of the fuel cost curve
versus real power. This is known as Incremental
fuel cost curve.
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(2.2)
• It measures how costly it will be to produce the

next increment of power.
• The total operating cost includes the fuel cost,
and the cost of labor, supplies and maintenance.
These costs are assumed to be a fixed percentage
of the fuel cost and are generally included in the
incremental fuel-cost curve.
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• Typical incremental fuel cost curve
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ELD Neglecting transmission losses and no

generator limits
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The simplest economic dispatch problem is the case
when transmission line losses are neglected. This
model assumes of one bus having all generations and
demands.
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(2.3)
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(2.4)
(2.5)
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(2.5)
(2.6)
2.5
(2.7)
(2.8)
(2.9)
45
(2.9)
(2.10)
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Eq (2.12) is known as the coordination equation.
For analytical solution substitute the value of Pi
in Eq (2.11).
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The value of lamda from (2.14) is substituted in
(2.12) to find the optimal scheduling of
generation.
If the losses is neglected then the solution for
optimal generation may be found analytically as
mentioned above else iterative procedure may
be adopted if losses is included (which makes
the equation nonlinear).
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Gradient method may be used to obtain the solution
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Example 1
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(a) Analytical Method
Using (2.14), lamda can be found as
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Putting the value of lamda in (2.12), optimal
dispatch is obtained as
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(b) Graphical Method
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c) Gradient Method
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ELD Neglecting transmission losses and

including generator limits
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 The power output of any generator can not

exceed its rating nor it should go below
certain limit to maintain stable boiler
operation.
 Hence, generator output are kept with a
certain minimum and maximum limits.
 Keeping the above points, the task is to find
the optimal scheduling of generators.
61
The problems statement becomes the
minimization of total cost function (given in eqn
2.3) subject to equality constraints mentioned
in eqn (2.4) and inequality constraints as given
below
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Example 2
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Economic Load Dispatch

Dr. Gauri Shankar

• Economic load dispatch

•without constraints and without

 Voltage and delta information from load flow

 OPF can be achieved by minimizing selected objective

 NFO is part of broader class of optimization called Nonlinear

 is referred as gradient vector.

 The term associated with the second derivative is given by

 The above equation results in a symmetric matrix called the

a) Set its partial derivative equal to zero and solve the

b) Find second partial derivative. Among the sets of

 Eigen values of H is found as 1.55, 4.0 and 6.45 which

Constrained parameter optimization

To distinguish these points, the second

In many problems, a direct solution is not possible and the above

Simple search method is to Assume a value of λ and compute f

- If f is zero, the estimated λ corresponding to the optimal solution.

• For iterative solution, NR method is the best

• Above nonlinear equation in terms of λ and

• Let us assume an initial guess for λ as 0.4

Constraint Parameter Optimization

• Operating cost plays an important role in

Alpha: Operation and maintenance cost

An important characteristic is obtained by

• It measures how costly it will be to produce the

ELD Neglecting transmission losses and no

ELD Neglecting transmission losses and

 The power output of any generator can not

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