Cost and Shadow Price Minimization in Electrical Power Network

Minimization of the electricity cost and shadow price without violating the power system constraints is becoming an urge demand all over the world. In the present study, a new methodology is proposed and compared with the traditional Optimal Power Flow (OPF) analysis. This study is applied to the Egyptian unified power network to optimize the power of each power plant while minimizing the overall electricity cost. The results from the two methodologies; OPF analysis and the proposed methodology are examined against the power system limits and compared from the economical point of view. The proposed methodology showed outstanding results of minimizing the cost function over the OPF. However, upgrading of the transmission system was required to ensure its capability to liaison with the power flow. Economic feasibility study is applied to choose the best solution from the economic aspects. Illustration of the outcomes of this study is reached and the significance of the transmission system upgrading is also highlighted, discussed, and concluded.