deano1351 / 3bus_LMPs

An illustration of how transmission congestion creates negative LMPs.

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3bus_LMPs

An illustration of how transmission congestion creates negative LMPs, and thus a benefit to increasing load. Note there are no renewables or start up/shut down costs here, the negative prices are purely due to snapshot-OPF congestion. There are also no upper limits on the maximum output of each generators.

Left: $7600

Right (Increased load at bus 1 by 70 MWh): $3400

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An illustration of how transmission congestion creates negative LMPs.


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