A physical-flow-based approach to allocating transmission losses in a transaction framework

A physical-flow-based approach to allocating transmission losses in a multiple-transaction system is presented. The allocation scheme is developed using a framework in which the transactions are explicitly represented. The proposed scheme is based on expressing losses explicitly in terms of all the transactions in the system. An important property of the allocation scheme is its effective capability to deal with counter flows that result in the presence of specific transactions. Extensive numerical testing indicates that the allocation scheme produces loss allocations that are appropriate and that behave in a physically reasonable manner. Test results on several systems are presented.