Bi-level Planning of Distribution Network Considering DG and ILR under the Open Electricity Market Environment

The power system reformation has changed the operating mode of the electricity market, and has a profound impact on the planning and operating of power supply companies. New standard of planning is analyzed and the bi-level planning model of distribution network is established considering DG and ILR under the open electricity market environment. The objective of the upper model is to minimize the cost of investment, and to maximize power supply reliability and power quality. While the lower level is to dispatch the DG output and ILR in the operation stage of distribution network optimally. The upper level model is mixed integer nonlinear program , which is solved using genetic algorithm . The lower level model is continuous nonlinear program, which is solved using prime dual interior point method. A modified IEEE-33 bus system is used to testily the proposed model. Analyzing the income of power supply company, the power sales side market competition is considered in the lower level model, adapted to the change of profit pattern..