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Tariff redesign in the purpose of increasing market business quality in distribution system

Main principle of a tariff system for electricity is that customers should cover all costs appeared in the power system, but as realistic as it possible in accordance with a place and time of delivered energy. Defining real economical price of electricity for customers at the low voltage distribution level presents main problem due to a lack of data related to daily load diagram. Fuzzy logic and fuzzy c-means clustering was applied to development of a model for consumers' classification. Obtained results could be used as an input for more realistic calculation of cost for electrical energy consumption of customers in household category. Additionally, the difference in calculation of electricity consumption cost based on the obtained values from proposed model and on current tariff system in Bosnia and Herzegovina is discussed.