Optimal Energy Transactions in Interconnected Electric Systems

Abstract
A method is developed to calculate optimal exchanges of energy within a large system of interconnected electric utilities. The model uses linear programming to dispatch both generation and sales between the utilities, in a way which minimizes energy costs for the entire system, within transmission constraints. A Monte Carlo process is used to select random levels of available generation and load in the system, and each resulting state is optimized. The results of many optimizations are averaged to arrive at the results.

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