ABSTRACT
If power fl ow is solved simultaneously with generation cost minimization, the power balance constraint is included in the formulation and the representation of incremental losses is exact. It also guarantees a feasible dispatch solution. In addition, many more of the power system limits can be included to guarantee that the dispatch solution is within the limits of: - transmission system capacity, - generators’ real and reactive power, - bus voltages, - security margins, etc. Many more adjustable variables can be included in the optimization effort to achieve the optimum conditions of: - transformer tap, - static VAR compensator, - generator voltage, - FACTS devices, etc.
