Dynamic Transmission Expansion Planning in Re-structured Power Systems considering Demand Response

Restructuring and deregulation have changed the power system planning and have introduced new objectives and challenges, especially in the field of Transmission Expansion Planning (TEP). On the other hand, the growing demand and shortage of energy and investment resources have caused special attention to the Demand Response (DR) programs. In this paper, dynamic multi-objective transmission expansion planning is carried out under reliability constraints in the market environment and the presence of demand bidding programs and price responsive bids. The novelties of this paper include the participation of demand bidding (DB) programs and price responsive bids in transmission expansion planning, new wholesale electricity market modeling considering the direct participation of DB programs and price responsive bids and finding the optimum amount of DB programs in each year in individual buses. These data can be sent as a signal to the DR suppliers from the market regulated entity to be considered in their long term planning. The proposed algorithm is implemented on the IEEE 24-bus network and its advantages, including reducing the investment cost and congestion and increasing the reliability, are shown.