Locational Marginal Price

GAMS code

Alireza.soroudi@gmail.com 1
LMP
• LMP is the price for supplying an additional 1MW on a given location
in the network
• LMP is the same for all buses If there is no congestion in the grid
• LMP is a time dependent parameter and varies with the time,
demand, location and network topology

Alireza.soroudi@gmail.com 2
 Table data(Gen,*)
b Pmin Pmax Line limit =200 MW
G1 20 28 206
G2 10 90 284;

G1 X=0.2 G2

L1=0MW L2=400MW

Alireza.soroudi@gmail.com 3
 Table data(Gen,*)
b Pmin Pmax Line limit =200 MW
G1 20 28 206
G2 10 90 284;

G1 X=0.2 G2

L1=10MW L2=200MW

Alireza.soroudi@gmail.com 4
 Table data(Gen,*)
b Pmin Pmax Line limit =200 MW
G1 20 28 206
G2 10 90 284;

G1 X=0.2 G2

L1=210MW L2=200MW

Alireza.soroudi@gmail.com 5
 Table data(Gen,*)
b Pmin Pmax Line limit =200 MW
G1 20 28 206
G2 10 90 284;

G1 X=0.2 G2

L1=210MW L2=20MW

Alireza.soroudi@gmail.com 6
Calculate the LMP for each bus

Alireza.soroudi@gmail.com 7