Proposal of Quantitative Evaluation Method for Incentive Usage of Transmission Lines Under a Competitive Environment

B. Liu (Japan), Y. Liu (PRC), and T. Inaba (Japan)

Keywords

power market deregulation, transmission lines, quantitative evaluation method, transmission user, competitive environment

Abstract

: This paper presents a quantitative evaluation method for investment incentives in the construction and usage of transmission lines under a competitive environment. A new concept of transmission users is proposed for giving incentive to invest in transmission lines. A new concept of a successful bid coefficient (SBC) is introduced in the quantitative evaluation method for incentive usage of the transmission lines in an electricity market. We evaluated the proposed method in a test system. Using an illustrative case, results verify that the usefulness of the proposed method can be evaluated.

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