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Currently, there is a national push for a smarter electric grid, one that is more controllable and flexible. Only limited control and flexibility of electric assets is currently built into electric network optimization models. Optimal transmission switching is a low cost way to leverage grid controllability: to make better use of the existing system and meet growing demand with existing infrastructure. Such control and flexibility can be categorized as a “smart grid application” where there is a co-optimization of both generators or loads and transmission topology. In this paper we form the dual problem and examine the multi-period N-1 reliable unit commitment and transmission switching problem with integer variables fixed to their optimal values. Results including LMPs and marginal cost distributions are presented for the IEEE RTS 96 test problem. The applications of this analysis in improving the efficiency of ISO and RTO markets are discussed.

Economic analysis of the N-1 reliable unit commitment and transmission switching problem using duality concepts