A proposal for congestion management system and the information exchange protocol

Transmission congestion management is critical for reliable system operation by keeping the system within the security constraints. In this paper we examine an efficient congestion management system compatible with evolving market environment; the key is building an information exchange protocols between the Independent System Operator (ISO) and market participants (MPs) that integrate market-based solutions to alleviating congestion. New market mechanisms are proposed for temporally interlinking the short-term market and the long-term market managed through the centralized scheme and the decentralized scheme, respectively. Mathematical formulations for the proposed scheme are presented including the congestion distribution factors for clustering and the stochastic optimal power flow for computing expected congestion costs. For illustration purposes a numerical analysis is conducted on the 39-bus system assuming various system contingency conditions.