Environmental marginal cost evaluation by non-inferiority surface (power systems)
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A decision-making methodology is discussed for determining the optimal generation dispatch and environmental marginal cost for power system operation with multiple conflicting objectives. In this study, the generation dispatch problems are formulated as a multiple objective optimization problem with two noncommensurable objectives (economy and environmental impacts). Each objective is optimized by Powell's method in the light of the individual performance index. Goal programming, a powerful tool for multiple criteria decision-making, is quantitatively performed to identify trade-off relations among these conflicting objectives. After a trade-off relation has been determined, sensitivity analysis is applied to evaluate the environmental marginal cost which indicates the increased portion of the monetary cost of system operation while the impact on the environment is improved. Numerical examples on a sample power system consisting of 10 buses, 11 transmission lines and five generators are provided to demonstrate the capabilities of the proposed approach. >
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