A Review on Congestion Management Methods in Deregulated Electricity Markets

L.A. Tuan (Sweden), K. Bhattacharya (Canada), and J. Daalder (Sweden)


Deregulated electricity market, congestion management, independent system operator, market-based congestion management, power system operation, optimal power flow.


This paper addresses the increasingly important issue of the emerging deregulated electricity markets congestion management. Major congestion management methods in the new market environment from the international technical literature are presented and classified according to security-constrained generation re-dispatch, zonal/cluster based management, network sensitivity factor based method, congestion management using FACTS devices, congestion pricing and market-based methods, congestion management using demand-side resource, and financial transmission rights. Brief discussions and comments about these methods are presented.

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