Optimal Power Flow by Newton Method for Reduction of Operating Cost with SVC Models

The optimal power flow is a power flow problem in which certain variables are adjusted to minimize an objective function such as cost of the active power generation or the losses,while satisfying physical operating limits on various controls, dependent variables and function of control variables. Current interest in OPF covers around its ability to solve for the optimal solution that takes account of security of the system. Practical solutions for OPF problems with separable objective functions have been obtained with special linear programming methods,but the classical OPF has defined practical solutions, the Newton approach is a flexible formulation that can be used to develop different OPF algorithms suited to the requirements of different applications. In other words, the optimal power problem seeks to find an optimal profile of active and reactive power generations along with voltage magnitudes in such a manner as to minimize the total operating costs of a thermal electric power system, while satisfying network security constraints. The OPF method is based on load flow solution by the Newton's method, a first order gradient adjustment algorithm for minimizing the objective function and use of penalty functions to account for inequality constraints on dependent variables.