ADEQUACY AND ECONOMIC ASSESSMENT OF NON-UTILITY GENERATION IN ELECTRIC POWER SYSTEMS

Abstract

Non-Utility Generators (NUGs) are independent power production (IPP) or cogeneration facilities, which are not owned by the power utility in whose service area the facilities are located. The energy produced by NUGs is expected to provide a significant portion of the additional electrical energy required in the future. These facilities are normally small generating units located at load points within the utility system and can have considerable impact on the adequacy and economics of electricity generation and supply. NUGs are an important bulk electric supply-option available to utilities when creating least cost energy plans for the future. Evaluation and quantification of the reliability and economic benefits of NUGs is, therefore, an important research area. This thesis investigates the reliability effects and economic benefits of NUGs in generating capacity and composite generation and transmission system studies. A small educational test system designated as the RBTS and the IEEE-Reliability Test System (IEEE-RTS) were employed in the investigations. Monte Carlo simulation and analytical techniques were utilized for the generating capacity adequacy and economic assessments.The composite generation and transmission system adequacy and cost of unserved energy assessments were conducted using analytical methods. The results obtained from these studies show that NUGs can be used effectively in an electric power utility and that detailed analysis of the specific system under study is required to evaluate their impact on both reliability and system economics.