Investigation of LMP forecasting for congested power systems

Transmission congestion occurs when power flow over a transmission line exceeds its thermal limit causes high fluctuation of locational marginal prices (LMPs). It eventually influences the revenue, incomes, and profits of the market participants. Hence an accurate LMP forecasting is important to ensure economical operation as well as proper scheduling of generation resources. It helps market participants in making effective decisions and providing better risk management. This paper analyses the impact of congestion in LMP volatility then proposes a new advanced method for LMP forecasting based on adaptive neuro-fuzzy inference system (ANFIS).