ECE 476

POWER SYSTEM ANALYSIS

Lecture 4
Power System Operation

Professor Tom Overbye

Department of Electrical and
Computer Engineering
Reading and Homework

• Moving 1st Exam? Oct 11 or 13?

• For lectures 4 through 6 please be reading Chapter 4
– we will not be covering sections 4.7, 4.11, and 4.12 in detail though
you should still at least skim those sections.
• HW 1 is 2.9, 22, 28, 32, 48; due Thursday 9/8
• For Problem 2.32 you need to use the PowerWorld Software. You can
download the software and cases at the below link; get version 15.
http://www.powerworld.com/gloversarma.asp
Direct PowerWorld download page is
http://www.powerworld.com/DemoSoftware/GloverSarmaSimdwnldv15.asp

2
State Variation in Electric Rates

3
The Goal: Customer Choice

4
The Result for California in 2000/1

OFF

OFF

5
 The California-Enron Effect
WA
MT ND VT ME
MN
OR NH
ID SD WI NY MA
WY MI RI

IA PA CT
NV NE NJ
IN OH DE
UT IL W MD
DC
CO VA VA
CA KS MO KY
AZ TN NC
OK
NM AR SC
MS AL GA
TX
LA
AK
FL
HI

electricity delayed suspended

no activity
restructuring restructuring restructuring
Source : http://www.eia.doe.gov/cneaf/electricity/chg_str/regmap.html 6
Natural Gas Boom, Bust and Boom

7
August 14th, 2003 Blackout

8
2007 Illinois Electricity Crisis

 Two main electric utilities in Illinois are ComEd and Ameren

 Restructuring law had frozen electricity prices for ten years,
with rate decreases for many.
 Prices rose on January 1, 2007 as price freeze ended; price
increases were especially high for electric heating customers
who had previously enjoyed rates as low as 2.5 cents/kWh
 2009 average residential rate (in cents/kWh) is 9.08 in IL,
7.62 IN, 9.38 WI, 7.37 IA, 15.52 NY, 6.60 WA, 13.20 in
CA, 9.82 US average

9
The Rise of Renewables

Currently
about 4%
of our
electric
capacity
is wind
The up/downs
in 2001/2 and
2003/4 were
caused by
expiring tax
credits

10
The Smart Grid

• The term “Smart Grid” dates officially to the 2007

“Energy Independence and Security Act”, Title 13
(“Smart Grid”)
• Use of digital information and control techniques
• Dynamic grid optimization with cyber-security
• Deployment of distributed resources including
• Customer participation and smart appliances
• Integration of storage including PHEVs
• Development of interoperability standards

11
Smart Grid Perceptions

12
In the News: Local Electricity
Suppliers

• On Monday (Aug 29) the News-Gazette had a story about

alternative electricity suppliers finally entering the Ameren
residential market
• For example, BlueStar Energy offers electricity at a fixed price
of 5.175 cents/kWh versus Ameren at 5.646 cents/kWh.
• There are other rate options as well so consumers need to shop around
for what works best
• You still pay some money to Ameren for the use of the wires,
just not for energy
• Check out www.pluginillinois.org

13
In the News: Illinois Smart Grid Bill

• On Monday (Aug 29) legislation to “modernize” the

Illinois electric grid was sent to Governor Quinn. He has
promised to veto the bill. If vetoed it could be overriden
in the fall veto session
• Supporters of the ten year, $3 billion effort, say the
savings to consumers due to the installation of smart
meters will more than offset the increase in rates.
• Quinn and other argue it gives too much money to
ComEd and Ameren.

14
Power System Operations Overview

 Goal is to provide an intuitive feel for power system

operation
 Emphasis will be on the impact of the transmission
system
 Introduce basic power flow concepts through small
system examples

15
Power System Basics

 All power systems have three major components:

Generation, Load and Transmission/Distribution.
 Generation: Creates electric power.
 Load: Consumes electric power.
 Transmission/Distribution: Transmits electric power
from generation to load.
– Lines/transformers operating at voltages above 100 kV are
usually called the transmission system. The transmission
system is usually networked.
– Lines/transformers operating at voltages below 100 kV are
usually called the distribution system (radial).
16
 Simulation of the
Eastern Interconnect
VIK 138
BIG BEN D

WH TWTR3
EEN 138 ST RITA

MUKWO N GO
SUN 138 WH TWTR4
TRIPP WH TWTR5
UN IVRSTY
Raci ne
JAN 138
Pl aisades
SGR CK4
UN IV N EU
LBT 138
H AM PTO N 5 SGR CK5
LAN 138 BRLGTN 2 SO M ERS Covert
ALB 138
RO R 138

H azel t on N LK GV T BRLGTN 1
ALBERS-2

PO T 138 Paddock PARIS WE BAIN 4 Benton H arbor

FRAN KLN 5 N O M 138 M RE 138 TICH IGN
BUTLER 5 H AZL S 5 H LM 138
UN IO N TP5 D AR 138 WIB 138
BLKH AWK5 N LG 138
N ED 138
Pl easanP
trai r i e
N WT 138
M ID PO RT5 N ED 161
LIBERTY5
D RFN D RY5 D UN D EE 5 BCH 138
LUN D Q ST5 TRK RIV5 WBT 138 ELK 138
CASVILL5 BLK 138
CO R 138 D IK 138
D RCO M P 5 D R NE 5
WTWEST 5
LEN A ; B LEN A ; R
8TH ST. 5 Zi on

D R EN G 5

Rockford
WASH BRN 5 LO RE 5
ELERO ;BT ELERO ; RT
ASBURY 5 Wempl et on
EL FARM 5 SO . GVW. 5 PECAT; B

CN TRGRV5 Waukegan
LAN CA; R
JULIAN 5 SALEM N 5

H arl em Belvi dere Marengo

FREEP; Roscoe

GALEN A 5
Sand Par k
Pi erpont

B465
FO RD A; R
S PEC; R E. Rockfor d
Al pi ne
Cook - 345 kV
Char l es

B427 ; 1T
Sabrooke
Cherr y Val l ey
Cook - 765 kV

Bl aw khaw k
Kenzi e Cr eek

SAVAN N A5

Ar nol d
STILL;RT
TRAER 5 WYO MIN G5 M Q O KETA5

VIN TO N 5
M- TO WN 5 Tol l w ay
D YSART 5
M T VERN 5
FAIRFAX5 PCI 5

Hanover

BEVERLY5 Twi n Br anch

BERTRAM 5
H IAWATA5
TIM BRCK5 6 ST 5 Bart l et t
Des Pl aines

YO RK 5
M ARYL; B O l i ve JackSr
Wayne
I t asca

Nor di
G l endal e
M i chi gan Ci ty
W 407 ( Fer m i ) Addi son
LEECO ;BP Chur ch
H 445 ;3B
H 440 ; R
El mhurst
Lom bar d
GR M N D 5

E CALM S5 ALBAN Y 6
M EN D O ; T
D IXO N ;BT N Aur ora
D EWITT 5 BVR CH 65 BVR CH 5 ALBAN Y 5 GARD E;
H 71 ; BT El ect r i c Junct i on
H 71 ; B H 440 ;RT STEWA; B D umont 345 D umont 765

H 71 ; R
STERL; B D unacr
Li sl e
M cCook
St i l l w el l

D ow ner s Gr oove

CRLRID G5
Chi ave
M ECCO RD 3 Babcock

SB PIC 5 Shef i el d
CO RD O ; N ELSO ; R Pl ano

Wi l l Co.
R FAL; B R FAL; R
N ELSO ; RT Romeo Lake Geor ge Tower Rd
SB GIC 5 SB 79 5
SB 49 5 Munster
SBH YC5

SB UIC 5 Bur nham

SB 74 5
SB 90 5 SB 17 5 Lockport
Bl ue Isl and
JASPER 5 SB YIC 5 SUB 77 5 Goodi ngs Gr ove
SB 71 5
Gr een Lake
D AVN PRT5
SB 78 5 Kenda Gr een Acr es
N EWTO N 5
H ILLSIE5 SB 76 5 Sand Ri dge
SB 89 5
SB 88 5

Jol i et Lansi ng
SB EIC 5 IPSCO 3 Bur r O ak
SB 58 5
SB JIC 5 Gl enw ood
M otezuma IPSCO 5 SB 70 5 Chi cago H ei ghts
Bri gg F- 503
SB A 5
F- 575
Fr ankfort East Frankf or t Countr y Cl ub H i l l s
PO WESH K5 PARN EL 5 H ILLS 5 SB 52 5 SB 28 5 El wood
N Len M at t eson Par k For est
Bl oom
SB 48 5 SB 47 5 SB 31T 5 U. Park Woodhi l l

REASN O R5
SB 53 5
SB 85 5 E M O LIN E
Col l i ns
Wi l ton Center
D resden
Schahf er
SB 43 5 B B
SB 18 5

SB 112 5 93%
105%
MVA MVA

La Sal l e
Wi l mi ngt on

KPECKTP5
WEST 5

SO . SUB 5
Brai dw ood

9 SUB 5
H WY61 5

BEACO N 5

N EWPO RT5

EIC 5

BRD GPRT5

M PWSPLIT

H ALLO CK

LUCAS 5

Peoria
WATSEKA 17GO D LN D
GILM AN

FARGO CAT MO SS

RSW EAST
RAD N O R

CAT SUB1

E PEO RIA
PIO N EERC
CAT TAP

CAT M AP KEYSTO N E

WAPELLO 5 H IN ES

JEFF 5 ED WARD S3

ED WARD S1
H EN RYCO 5

CAT SUB2

EASTERN
BURLIN 1G
D EN MARK5 BRLGTN 5
TAZEWELL
Tazw el l

GIBSO N C
PAXTO N E H O O PESTN

N IO TA
Power ton
N IO TA GIBSO N CP

APAN O SE5

N LERO Y

VIELE 5
CUBA Bloomington

D uck Cr eek WEED M AN

MACO M BN E
RN TO UL J
RAN TO UL
CAN TO N
VERM ILO N
H AM LTN AM MACO MB W

TRIVERS5 CLTN TAP

TILTN EC
VERM L 1

CARBID E5 VERMILO N
Ipava CLT RT54

M ASO N
W TILTO N Gulon
IPAVA M AH O M ET

AD AIR
LEVER RD
S CLN TN Cl i nton
M ASO N CY CH AM P TP
H AVAN A S BUN SO N VL
CH AM P W CH AM P E
1346A TP

H AVAN A H O LLAN D KICKAPO O RISIN G PERKN SRD

17
 Small PowerWorld Simulator Case

Load with
green Bus 2
-20 MW
4 MVR
20 MW
-4 MVR Bus 1
arrows 1.00 PU

indicating
204 MW
102 MVR
Note the
1.00 PU

amount 106 MW power

of MW -34 MW -14 MW
0 MVR
balance at
150 MW AGC ON

flow 116 MVR AVR ON

10 MVR 4 MVR 100 MW
each bus
34 MW 14 MW
-10 MVR -4 MVR
Bus 3 1.00 PU
Home Area
102 MW
Used 150 MW AGC ON
51 MVR

to control 37 MVR AVR ON

output of Direction of arrow is used to indicate

generator direction of real power (MW) flow
18
Power Balance Constraints

 Power flow refers to how the power is moving

through the system.
 At all times in the simulation the total power
flowing into any bus MUST be zero!
 This is know as Kirchhoff’s law. And it can not be
repealed or modified.
 Power is lost in the transmission system.

19
Basic Power Control

 Opening a circuit breaker causes the power flow to

instantaneously(nearly) change.
 No other way to directly control power flow in a
transmission line.
 By changing generation we can indirectly change
this flow.

20
Transmission Line Limits

 Power flow in transmission line is limited by

heating considerations.
 Losses (I2 R) can heat up the line, causing it to sag.
 Each line has a limit; Simulator does not allow you
to continually exceed this limit. Many utilities use
winter/summer limits.

21
Overloaded Transmission Line

22
Interconnected Operation

 Power systems are interconnected across large

distances. For example most of North America east
of the Rockies is one system, with most of Texas
and Quebec being major exceptions
 Individual utilities only own and operate a small
portion of the system, which is referred to an
operating area (or an area).

23
Operating Areas

 Transmission lines that join two areas are known as

tie-lines.
 The net power out of an area is the sum of the flow
on its tie-lines.
 The flow out of an area is equal to

total gen - total load - total losses = tie-flow

24
Area Control Error (ACE)

 The area control error is the difference between the

actual flow out of an area, and the scheduled flow.
 Ideally the ACE should always be zero.
 Because the load is constantly changing, each utility
must constantly change its generation to “chase” the
ACE.

25
Automatic Generation Control

 Most utilities use automatic generation control

(AGC) to automatically change their generation to
keep their ACE close to zero.
 Usually the utility control center calculates ACE
based upon tie-line flows; then the AGC module
sends control signals out to the generators every
couple seconds.

26
 Three Bus Case on AGC

-40 MW 40 MW
Bus 2 8 MVR -8 MVR Bus 1
1.00 PU
266 MW
133 MVR
1.00 PU
101 MW
5 MVR
-77 MW -39 MW
150 MW AGC ON
25 MVR 12 MVR 100 MW
166 MVR AVR ON
78 MW 39 MW
-21 MVR -11 MVR
Bus 3 1.00 PU
Home Area
133 MW
Generation 67 MVR
250 MW AGC ON
is automatically 34 MVR AVR ON

changed to match Net tie flow is

change in load close to zero
27
Generator Costs

 There are many fixed and variable costs associated

with power system operation.
 The major variable cost is associated with generation.
 Cost to generate a MWh can vary widely.
 For some types of units (such as hydro and nuclear) it
is difficult to quantify.
 For thermal units it is much easier. These costs will be
discussed later in the course.

28
Economic Dispatch

 Economic dispatch (ED) determines the least cost

dispatch of generation for an area.
 For a lossless system, the ED occurs when all the
generators have equal marginal costs.

IC1(PG,1) = IC2(PG,2) = … = ICm(PG,m)

29
Power Transactions

 Power transactions are contracts between areas to do

power transactions.
 Contracts can be for any amount of time at any price
for any amount of power.
 Scheduled power transactions are implemented by
modifying the area ACE:

ACE = Pactual,tie-flow - Psched

30
 100 MW Transaction

8 MW -8 MW
Bus 2 -2 MVR 2 MVR Bus 1
1.00 PU
225 MW
113 MVR
1.00 PU
0 MW
32 MVR
-84 MW -92 MW
150 MW AGC ON
27 MVR 30 MVR 100 MW
138 MVR AVR ON
85 MW 93 MW
-23 MVR -25 MVR
Bus 3 1.00 PU
Home Area
113 MW
Scheduled Transactions 56 MVR
100.0 MW 291 MW AGC ON

Scheduled 8 MVR AVR ON

Net tie-line
100 MW flow is now
Transaction from Left to Right 100 MW
31
Security Constrained ED

 Transmission constraints often limit system

economics.
 Such limits required a constrained dispatch in
order to maintain system security.
 In three bus case the generation at bus 3 must
be constrained to avoid overloading the line
from bus 2 to bus 3.

32
Security Constrained Dispatch

-22 MW 22 MW
Bus 2 4 MVR -4 MVR Bus 1
1.00 PU
357 MW
179 MVR
1.00 PU
0 MW
100% 37 MVR
-122 MW
194 MW OFF AGC -142 MW
49 MVR 41 MVR 100 MW
232 MVR AVR ON
145 MW 100% 124 MW
-37 MVR -33 MVR
Bus 3 1.00 PU
Home Area
179 MW
Scheduled Transactions 89 MVR
100.0 MW 448 MW AGC ON
19 MVR AVR ON

Dispatch is no longer optimal due to need to keep line

from bus 2 to bus 3 from overloading
33
Multi-Area Operation

 If Areas have direct interconnections, then they may

directly transact up to the capacity of their tie-lines.
 Actual power flows through the entire network
according to the impedance of the transmission
lines.
 Flow through other areas is known as “parallel
path” or “loop flows.”

34
 Seven Bus Case: One-line

System has
44 MW -42 MW -31 MW 31 MW 80 MW
three areas 1.05 PU
1
3
0.99 PU
4
30 MVR
1.00 PU
Area top
62 MW 106 MW -37 MW 110 MW -32 MW
has five
AGC ON 40 MVR
94 MW
buses
Case Hourly Cost AGC ON
38 MW 16933 $/MWH
-14 MW
-61 MW
32 MW
1.04 PU 79 MW -77 MW 1.01 PU
2
Top Area Cost 5
8029 $/MWH
40 MW -39 MW 130 MW
40 MW
20 MVR 40 MVR
168 MW AGC ON
-40 MW 40 MW
20 MW -20 MW
1.04 PU 1.04 PU
6 20 MW 7
-20 MW
200 MW 200 MW
0 MVR Left Area Cost Right Area Cost
Area left 200 MW AGC ON
4189 $/MWH 4715 $/MWH
201 MW AGC ON
0 MVR

has one
Area right has one
bus
bus
35
 Seven Bus Case: Area View

Area Losses
Top 7.09 MW

Actual
40.1 MW
flow
-40.1 MW
0.0 MW
0.0 MW between
System has areas
40 MW of
Scheduled
“Loop Flow”
Left Right flow
Area Losses 40.1 MW Area Losses
0.33 MW 0.0 MW 0.65 MW

Loop flow can result in higher losses

36
Seven Bus - Loop Flow?

Area Losses
Top 9.44 MW

Note that
4.8 MW
0.0 MW
-4.8 MW Top’s
0.0 MW
Losses have
increased
from
7.09MW to
Left Right
9.44 MW
Area Losses 104.8 MW Area Losses
-0.00 MW 100.0 MW 4.34 MW

100 MW Transaction Transaction has

between Left and Right actually decreased
the loop flow 37
Pricing Electricity

 Cost to supply electricity to bus is called the locational

marginal price (LMP)
 Presently some electric makets post LMPs on the web
 In an ideal electricity market with no transmission
limitations the LMPs are equal
 Transmission constraints can segment a market, resulting in
differing LMP
 Determination of LMPs requires the solution on an Optimal
Power Flow (OPF)

38
 3 BUS LMPS - OVERLOAD IGNORED
60 MW 60 MW
Bus 2 Bus 1
10.00 $/MWh
Gen 2’s Gen 1’s
cost cost
0 MW 10.00 $/MWh
is $12 is $10
120 MW 180 MW
per 120% per
MWh 0 MW MWh
60 MW
120% 120 MW
Total Cost 60 MW
1800 $/hr
Bus 3 10.00 $/MWh
180 MW

0 MW

Line from Bus 1 to Bus 3 is over-loaded; all

buses have same marginal cost

39
LINE OVERLOAD ENFORCED

20 MW 20 MW
Bus 2 Bus 1
10.00 $/MWh

60 MW 12.00 $/MWh
100 MW 120 MW
80% 100%
0 MW
80 MW
80% 100% 100 MW
Total Cost 80 MW
1921 $/hr
Bus 3 14.01 $/MWh
180 MW

0 MW

Line from 1 to 3 is no longer overloaded, but now

the marginal cost of electricity at 3 is $14 / MWh 40
MISO and PJM

MISO and
PJM are
the reliability
coordinators
covering the
electric grid
in Illinois.
ComEd is in
PJM, and
Ameren is in
MISO.
41
 MISO ACE Chart from Aug 31, 2011

https://www.midwestiso.org/MarketsOperations/RealTimeMarketData/Pages/
ACEChart.aspx
42
MISO LMPs 8/31/11 at 11:05 AM

www.midwestmarket.org
43