Generalized Coordinated Transaction Scheduling: A Market Approach to Seamless Interfaces

A generalization of the coordinated transaction scheduling (CTS)—the state-of-the-art interchange scheduling—is proposed. Referred to as generalized coordinated transaction scheduling (GCTS), the proposed approach addresses major seams issues of CTS: the ad hoc use of proxy buses, the presence of loop flow as a result of proxy bus approximation, and difficulties in dealing with multiple interfaces. By allowing market participants to submit bids across market boundaries, GCTS also generalizes the joint economic dispatch that achieves seamless interchange without market participants. It is shown that GCTS asymptotically achieves seamless interface under certain conditions. GCTS is also shown to be revenue adequate in that each regional market has a nonnegative net revenue that is equal to its congestion rent. Numerical examples are presented to illustrate the quantitative improvement of the proposed approach.