Correlation between Generator Trips and Locational Marginal Prices (LMPs)

Abstract

Generally, disturbances in an interconnected network have an influence the stability and the economy of the power grid. Some phenomenon such as load shedding have proven to have a huge impact on real time electricity prices. Generation trip is considered one of the most common events in a power grid that may change the wholesale electricity market. In this paper, a locational marginal price (LMP) measure is used to notice how the electricity prices change with generator trip events at different locations of U.S. power grid. The study results help to find whether there is a clear correlation between generator trips and the changes in the electricity real-time market.