New structure of Social Welfare considering active and reactive power markets and uncertainties in smart grids

Regarding the restructured electricity industry, consumers and producers are looking for increasing their profits from production and consumption; according to this, the use of common objective function which is intended to minimize the cost of production will be the only benefit for consumer. Hence, social welfare is used as the objective function in this study because by maximizing of social welfare, consumer and producers will achieve their maximum benefit simultaneously. Since the cost of production includes the cost of reactive power in addition to cost the active power, production costs is achieved through active and reactive power markets in this article. Also due to benefit from the smart grid, the load is considered as variable in this paper; So that the consumers are able to manage their consumption and change the consumption according to the market price, and thereby increase the profits. With regard to the possibility of exploiting the resources of distributed generation in smart grid, the distributed generation has been studied along with other resources on the network sample and the impact of these resources are examined on the welfare and benefit of producers and consumers in this paper.

کلیدواژه ها:

social welfare ، reactive power market ، cost of lost opportunity ، distributed generation ، uncertainties of load