Reliability evaluation of electric power systems is an essential and vital issue in the planning, designing, and operation of power systems. An electric power system consists of a set of components interconnected with each other in some purposeful and meaningful manner. The object of a reliability evaluation is to derive suitable measures, criteria, and indices of reliable and dependable performance based on component outage data and configuration. For evaluating generated reliability, the components of interest are the generating units and system configuration, which refer to the specific unit(s) operated to serve the present or future load. The indices used to measure the generated reliability are probabilistic estimates of the ability of a particular generation configuration to supply the load demand. These indices are better understood as an assessment of system-wide generation adequacy and not as absolute measures of system reliability. The indices are sensitive to basic factors like unit size and unit availability and are most useful when comparing the relative reliability of different generation configurations. The system is deemed to operate successfully if there is enough generation capacity (adequate reserve) to satisfy the peak load (maximum demand). Firstly, generation model and load model are convolved (mutually combined) to yield the risk of supply shortages in the system. Secondly, probabilistic estimates of shortage risk are used as indices of bulk power system reliability evaluation for the considered configuration.
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