Sustainable and Inclusive Demand-Side Resilience: A Semi-Dynamic Model for Outage Costs

The power system is primarily designed and concerned with supplying electricity to its customers at all times. Nevertheless, power outages are inevitable; therefore, one of the challenges is to accurately determine the costs and damages to consumers in a fair and inclusive manner. Outage events are regularly costed based on a parameter called the Value of Lost Load (VoLL/VOLL). Although some of the influencing factors on outage costs have been identified in the literature, the exact determination of the damage to customers is still considered a big challenge. This work is an effort toward a more sustainable and inclusive demand-side resilience that provides a semi-dynamic model for the assignment of the power outage damage costs to the customers. The results of the proposed method show how using a semi-dynamic model for outage costs leads to more sustainable and inclusive operating decisions in the power system while also leads to a fairer allocation of costs.