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Combined Heat and Power Dynamic Economic Emissions Dispatch with Valve Point Effects and Incentive Based Demand Response Programs

In this paper, the Combined Heat and Power Dynamic Economic Emissions Dispatch (CHPDEED) problem formulation is considered. This problem is a complicated nonlinear mathematical formulation with multiple, conflicting objective functions. The aim of this mathematical problem is to obtain the optimal quantities of heat and power output for the committed generating units which includes power and heat only units. Heat and load demand are expected to be satisfied throughout the total dispatch interval. In this paper, Valve Point effects are considered in the fuel cost function of the units which lead to a non-convex cost function. Furthermore, an Incentive Based Demand Response Program formulation is also simultaneously considered with the CHPDEED problem further complicating the mathematical problem. The decision variables are thus the optimal power and heat output of the generating units and the optimal power curbed and monetary incentive for the participating demand response consumers. The resulting mathematical formulations are tested on four practical scenarios depicting different system operating conditions and obtained results show the efficacy of the developed mathematical optimization model. Obtained results indicate that, when the Incentive-Based Demand Response (IBDR) program’s operational hours is unrestricted with a residential load profile, the energy curtailed is highest (2680 MWh), the energy produced by the generators is lowest (38,008.53 MWh), power losses are lowest (840.5291 MW) and both fuel costs and emissions are lowest.