Economic Implications of Overvoltage Mitigation Methods in PV-rich LV Networks by Distribution Locational Marginal Pricing

This paper focuses on Distribution Locational Marginal Pricing (DLMP) as a financial tool within LV networks, exploring its susceptibility to voltage deviations and losses, particularly within PV-rich environments. Three overvoltage mitigation methods are investigated for their impact on DLMP and the total cost-to-load. The study assesses the effects on buses proximal and distal to the transformer and clarifies the total losses incurred by each method. A comparative analysis of the daily cost-to-load is conducted, providing insights into the economic implications of overvoltage mitigation strategies. By interpreting the relations among overvoltage mitigation methods, DLMP, and cost-to-load, this paper contributes to an improved understanding of the financial dynamics within PV-rich distribution networks.