Supply-demand adjustment for imbalance alleviation under deregulated power industry

The deregulation of the electric power markets has been introduced and is prevailing in the world. In Japan, the electric power industry law was revised in 1995 and 2000, and the new power market plan was shown in the end of 2002. In the competitive electric power market, it is important for a system operator to alleviate the supply-demand imbalance, and maintain stability and reliability in the system. In this paper, we propose a method of supply-demand adjustment suited for Japanese deregulation. Firstly, we assume the partial deregulated market in Japan. Secondly, we propose an introduction of balance service with the purpose of urging participation of PPSs. We consider a method of the supply-demand adjustment, in which a system operator will make efforts for generator and / or transmission line troubles, and we make decisions on generator outputs so that adjustment cost may be minimized. To demonstrate the proposed method we create a scenario and carry out simulations using IEEJ EAST 10machine-47bus system.