FACTS devices ownership in restructured electricity markets

At this time, the restructuring of power system is going to pass the early stages and become a well-known concept. However, it is impossible to say that supplying electricity is perfect now. There are still many works undergoing to increase the efficiency and functionality of restructured electricity markets. In this paper, a new concept for electricity markets has been proposed. This new concept is FDO which stands for FACTS Devices Owner. In this paper it has been tried to introduce this new participant and clarify some of its duties. Removing the Transmission Owner market power by increasing the line capacity, optimum unit commitment by distributing the generation, less emission by using units with lower emission and renewable energies which directly affects on social health and welfare, are some of the benefits that come along with FDOs. In the case study part, the FDO has been implemented on an assumed market with two areas and four Generation Companies and it is shown that introducing FDO to the market is a useful action toward full free competition vision.