The role of transmission investment in the coordination between generation and transmission in the liberalized power systems

Vincent Rious (1) , Jean-Michel Glachant (2) , Yannick Perez (2, 3) , Philippe Dessante (1)

1 SUPELEC-Campus Gif
2 LdP - Loyola de Palacio Programme
3 ADIS - Analyse des Dynamiques Industrielles et Sociales

This paper examines how transmission coordinates with generation to the long term in a liberalized power system. We rely on a modular analysis to separate the mechanisms of coordination between generation and transmission of electricity into distinct modules. The governance structure of transmission completes this analysis framework. We then show that in a logic of complementarity, this governance structure influences the options that TSO implements to manage effectively power flows. Although locational signals are necessary to guide the installation of new power plants, the governance structure explains that investment in network may be the only effective method of longterm coordination between generation and transmission.

Keywords: The diversity of design of TSOs

Domains: Economics and Finance; Electric power

Vincent Rious, Jean-Michel Glachant, Yannick Perez, Philippe Dessante. The role of transmission investment in the coordination between generation and transmission in the liberalized power systems. 7th Conference on Applied Infrastructure Research, Oct 2008, Berlin, Germany. 26 p. ⟨hal-00339325⟩