Liu, Haifeng; Tesfatsion, Leigh S.; Chowdhury, A.A. - Department of Economics, Iowa State University - 2009
In this tutorial paper, different AC and DC optimal power flow (OPF) models are presented to help understand the derivation of Locational Marginal Prices (LMPs) in restructured wholesale power markets. As a byproduct of this analysis, the paper provides a rigorous explanation of the basic LMP...