© The Institution of Engineering and Technology
This study addresses clarification regarding total payment function calculation in reactive power market. One of the main sources of reactive power in transmission network is synchronous generator. Capability curves of reactive power produced by synchronous generators are surveyed in this study. Meanwhile, using these curves, all the costs of one synchronous generator to inject or absorb reactive power are calculated. These costs include an availability cost and cost of losses as well as cost of losing the sale opportunity of electrical energy because of production or absorption of reactive power. The IEEE 24-bus reliability test system is used to illustrate the proposed cost calculation technique in reactive power market.
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