Global Optimization of Multilevel Electricity Market Models Including Network Design and Graph Partitioning

Journal article
(Original article)


Publication Details

Author(s): Kleinert T, Schmidt M
Journal: Discrete Optimization
Publication year: 2019
ISSN: 1572-5286
Language: English


Abstract


We consider the combination of a network design and graph partitioning model in a multilevel framework for determining the optimal design of zonal pricing electricity markets. This together with nonlinearities due to economic modeling yields extremely challenging mixed-integer nonlinear multilevel models for which we develop two problem-tailored solution techniques. The first approach relies on an equivalent bilevel formulation and a standard KKT transformation thereof, whereas the second is a tailored generalized Benders decomposition. We prove for both methods that they yield global optimal solutions. Finally, we compare the approaches in a numerical study and show that the tailored Benders approach clearly outperforms the standard KKT transformation.


FAU Authors / FAU Editors

Kleinert, Thomas
Juniorprofessur für Optimierung von Energiesystemen
Schmidt, Martin Prof. Dr.
Juniorprofessur für Optimierung von Energiesystemen


How to cite

APA:
Kleinert, T., & Schmidt, M. (2019). Global Optimization of Multilevel Electricity Market Models Including Network Design and Graph Partitioning. Discrete Optimization. https://dx.doi.org/10.1016/j.disopt.2019.02.002

MLA:
Kleinert, Thomas, and Martin Schmidt. "Global Optimization of Multilevel Electricity Market Models Including Network Design and Graph Partitioning." Discrete Optimization (2019).

BibTeX: 

Last updated on 2019-30-08 at 08:10

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