Identification of Appropriate Buses for

Implementation of Smart Grid in order to Improve

System Efficiency
P. Khajavi

A.B. Arani

H. Monsef

Monenco Iran Consulting Engineers

Tehran, Iran
khajavi.pouyan@monenco.com

University of Tehran
Tehran, Iran
a_boujar@ut.ac.ir

University of Tehran
Tehran, Iran
hmonsef@ut.ac.ir

Abstract One of the most important missions of Smart Grid is

to improve system efficiency through effective execution of Time
of Use (TOU) Demand Response (DR) programs and to provide a
link between consumers and electricity market in order to
provide a smoother load curve. On the other hand, realization of
Smart Grid in a system would be very costly. In this situation,
identifying the most influential buses in order to implement the
infrastructures of Smart Grid is of highest importance. In this
paper, IEEE 57 bus test system has been chosen to clarify the
procedure used for selecting buses in order to implement Smart
Grid. Buses have been selected using the Generation Shift Factor
(GSF) method and the influence of Smart Grid has been
simulated using DR model on whole system's load curve.
Keywords- Demand response, Real time pricing, Smart grid,
Identifying buses

I.

INTRODUCTION

One of the most important advantages of smart grid is its

ability to improve Demand Response (DR) programs and to
help the execution of these programs through increasing the
elasticity of demand in the system [1]. The effective execution
of DR programs could have several advantages to both
electricity consumers and utilities. Some of these advantages
are higher load factor, more efficient use of electricity,
prevention of price spike occurrence in the market, reduced
electricity price for consumers and improved system reliability
[2].
Smart Grid, as a relatively new concept could help
electricity utilities to achieve goals which are inaccessible
through todays DR methods [3]. But it should be considered
that the cost of realization of smart grid is very high. In this
paper it has been proved that by identifying a number of
influential buses (10 buses have been chosen), and through
implementing the infrastructures of smart grid in these buses,
several advantages could be brought for whole system
including smoother load curve and higher system efficiency.
DR programs are divided into two main categories, Time
Based Rates and Incentive Based DR programs. In Time of
Use (TOU) programs, the electricity utility sells energy at
different prices throughout the day. The focus of this paper is
on Real Time Pricing (RTP) which is available in smart grid.
In RTP program, the price of electricity would be equal to the

markets spot price which is changed every hour or every half

an hour depending on the market [4].
In this paper, the IEEE 57 bus grid has been chosen to study
the influence of RTP program using smart grid. In order to
have the best answer, 10 buses have been selected for the
execution of RTP demand response programs based on
sensitivity analyses. The basis for selecting 10 buses is to find
buses having greatest influence on transmission lines load
reduction.
II.

SMART GRID

Although Smart Grid

contains many different
characteristics, this paper focuses on characteristics pertaining
to Demand Side Management (DSM) and DR.
Smart grid refers to a modern and intelligent power system
in which the needed information is available to both producers
and consumers and all parts of the system have sufficient
information to regulate their activities. In smart grid,
information flow would be 2 way on the contrary to today's
grid in which the information is only transmitted from lower
levels to higher levels, also power would not only flow from
power plants to the grid, but from consumers to the grid too
[3].
In order to modernize the existing grid several key parts
should be added to today's grid. U.S. Department of Energy
(DOE) defines smart grid as todays grid joined by advanced
metering and control devices such as information technology,
sensors, high speed and real-time two way communications,
energy storages, distributed generation and in-home energy
controllers.
Having these smart infrastructures, smart grid has many
advantageous characteristics. In smart grid all customers
regardless of their size, will be aware of the instantaneous
market price through high speed and real time connections
(depending on the market, price could be settled every hour,
half an hour or every quarter of an hour). By having an inhome controller connected to all the appliances, every
customer would be able to control his/her energy consumption
automatically with respect to market price.
In this environment, electric and hybrid vehicles would be
able to act as distributed storages, storing the energy at times

Under the sponsorship of Mapna Group, Tehran, Iran.

978-1-4244-8782-0/11/$26.00 2011 IEEE

of low electricity price and discharging the stored energy at

times of high price.
Smart grid enables the use of distributed generation in all
voltage levels. Domestic generators such as wind turbines or
photovoltaic cells would help customers to reduce their energy
bills and even sell extra to demand electricity to the grid. In
other words, smart grid provides customers with enough
information and hardware to be able to actively participate in
the electricity market.
Some of Smart Grids characteristics can be summarized as:
1- Real time pricing would be practical.
2- Smart Grid accommodates all distributed generation
and storage technologies.
3- Customer participation would be at its highest level.
4- Smart Grid optimizes assets and operates efficiently.
5- System would be more economic.
6- The system would be more environmentally friendly.
[5], [6], [7].
III.

IDENTIFYING THE INFLUENTIAL BUSES

In this research the IEEE 57 bus test system has been chosen
to analyze the influences of the execution of RTP program
enabled through the realization of smart grid in selected buses.
The most influential buses should be selected in order to
implement smart grid. Due to high price of these
infrastructures only 10 buses having a great effect on
preventing transmission lines congestion have been selected.
The procedure used here, is that first by using contingency
analysis, critical lines which are threatening system the most,
are identified. Then, 10 buses which could affect these critical
lines tensions the most have been identified. Load reduction in
these buses would yield the best response to the grids load
shape and system's reliability.
To achieve this goal, on the first step, single contingencies
for transmission lines have been considered. When a line is
disconnected, other lines have to transmit its ex-transmitted
power. As a result some of other lines would be overloaded.
The total amount of overloading (TAO) resulting from
disconnecting a line for each line has been calculated. Then,
by multiplying TAO in the probability of the related
contingency, most severe contingencies would be ranked.
.
1
Where:
TAO = Total Amount of Overloading
p = Probability of related contingency
In this paper it is assumed that the outage probabilities of all
transmission lines are equal to 0.02. So the TAOs are the
determining factor to rank lines. As a result most critical lines
are lines number 15, 42, 3, 8, 17, 41, 16, 1, 2, 27 and 60
respectively (ordered with respect to line ranks from high to
low). In the next step, buses influencing these lines the most
should be identified and in order to do so, Generation Shift
Factor (GSF) method has been used. GSF is defined as:
f
2
,
p
Where:
p = Generation change in i-th bus

f = Change in transmitted power through l-th line as a

result of change p in i-th bus generation.
In this method it is assumed that a change i-th buss
generation is compensated by exactly the same amount of
power generated in the slack bus and other buses remain
unchanged. So, the GSF a , demonstrates the sensitivity of l-th
line transmitted power with respect to a change happening in
generation of i-th bus.
If generation loss in i-th bus is as large as p then:
3
p
And the new power transmitted through l-th line could be
demonstrated as:
4
,
Where:
= The transmitted power through l-th line after
generation loss in i-th bus.
= The transmitted power through l-th line before
generation loss.
In order to have GSFs for this grid bus angles should be
calculated:

.
5
Where:

Change in bus angles

Impedance matrix

Change in bus powers

In the above equation it is considered that the injected
power from slack bus is equal to the summation of all other
injected powers from other buses. In order to have the
generation shift factor for i-th bus, the change in the injected
power of i-th bus is set equal to 1MW, the change in other
buses would be 0 and the change in the injected power of
slack bus is set equal to -1MW respectively.
1

0
6

.
1

The bus angles change matrix ( demonstrates that a

power increase of 1 MW is occurred in i-th bus which is being
compensated by a power decrease of -1 MW in the slack bus.
So the angles change matrix ( is equal to the derivative of
the bus angles with respect to the injected power in i-th bus.
So the generation shift factors would be equal to:
1
1
,

Where:
Generation Shift Factor of l-th line and i-th bus
Reactance of l-th line
The real part of (n, i)-th element of the impedance
matrix
The real part of (m, i)-th element of the impedance
matrix
This index shows the impact of a decrease in load of i-th bus
(which could be considered as an increase in generation) on
the transmitted power of l-th line. GSF index could be positive
or negative. The positive value means that a decrease in the
,

load of i-th bus would lead to an increase in the transmitted

power of l-th line. On the contrary, the negative value means
that a decrease in load of i-th bus leads to a decrease in the
transmitted power of l-th line.
Negative index means that the load of i-th bus has a
potential to decrease the overload of l-th line.
Considering the above mentioned facts about GSF index,
buses representing highest negative values are preferred for
the execution of DR programs and load shedding, and also are
the best choices for installing the smart grids infra structures
[8].
In this paper in IEEE 57 bus grid, all loads have been
multiplied by a coefficient of 1.4 in order to exaggerate the
electricity prices. In choosing the critical buses, 3 factors are
considered as follows:
1- Having more negative GSF values which means the bus
has greater influence on reducing the transmitted power
of critical lines.
2- Having influence on lines having great overloads (lines
with higher ranks).
3- Having greater demands so reducing demand would
have considerable influence.
Considering these three factors, the selected buses for the
execution of DR programs and installing the smart grid
infrastructures are buses number 1, 3, 5, 8, 12, 15, 16, 17, 25
and 51.
IV.

MODELING DEMAND RESPONSE

In this section a model is demonstrated in order to determine

the result of executing TOU programs on the load curve.
The cross elasticity between i-th and j-th interval in a day is
defined as [9]:
.

,
0
,
0
The final model is as follows [10]:

, .

1,2,3, ,24
9
Where:
d(i) = Customer demand in i-th hour (MWh).
(i) = Spot electricity price in i-th hour ($/MWh).
It is supposed that customers demand has the initial value
which is a
and the electricity has the price of
of
fixed price. The load changes to d(i) after the execution of DR
program.
is the price curve considered for the DR
program which would be the actual price curve of electricity
in the market in smart grid.
V.

RTP PROGRAM IN SMART GRID, ADAPTIVE PERIODS

AND DEFINING THE SCENARIO

In this section, the influence of smart grid on time-based DR

programs has been evaluated and a scenario has been defined

in order to analyze the influence of smart grid on systems load

curve.
The load shape of an ordinary day in Irans Grid has been
chosen to analyze the influence of Real Time Pricing (RTP)
program enabled through smart grid technologies. The load
curve belongs to Aug 28, 2006 of Iran's grid [11].
The load curve has been normalized based on the IEEE 57
bus system's total load with a coefficient of 1.4. So the
average demand trough the day is 1.4 times the IEEE 57 bus
system's total power. The mentioned load curve has been
shown in fig.1 as initial load curve. The price of the electricity
throughout the day could be derived from the load curve by
having the price curves of gencos. The price curves of gencos
have been considered as in IEEE 57 bus system. In order to
have the price of electricity throughout the day, A DC optimal
power flow has been run for each hour of the day. In RTP
program, every time period (each period is an hour in this
paper) would have its own electricity price. By having the
supply curves of gencos, the price curve during the day could
be derived from demand curve as shown in fig. 2 as initial
price curve.
In RTP program, every two different time periods, have
their own cross elasticity and also every time period has a
different self elasticity. For the sake of simplicity, hours of the
day have been divided into 3 categories as Peak, Off-Peak and
Low periods. But for modeling RTP program, these time
intervals could not be assumed as fixed periods during a day
like normal TOU programs executed by today's electric
utilities, but they change depending on the load and the energy
price at that hour.
The technique used here is based on defining Peak, OffPeak and Low periods depending on how high the electricity
demand and relatively its price are.
So, the periods are adaptive depending on the magnitude of
demand. Table I shows the way in which these periods are
considered in this paper.
Smart Grids characteristics defined in section II would help
customers to respond to changes in electricity price and vary
their energy consumption during the day more effectively. In
this new environment, even the smallest customers would
have the ability to participate in power market and to adjust
their consumption with respect to electricity price in order to
reach their desired welfare [5].
Therefore Smart Grids characteristics can be added to DR
model by increasing self and cross elasticities of demand with
respect to elasticities considered for modeling normal TOU
programs [1]. The mentioned elasticities are shown in table II.
TABLE I.

ADAPTIVE PERIODS USED FOR SIMULATING RTP PROGRAM IN

SMART GRID ENVIRONMENT

Peak period
Off-Peak period
Low period

Demand is between 70% and 100%

of its range.
Demand is between 30% and 70%
of its range.
Demand is between 0% and 30% of
its range.

SELF AND CROSS ELASTICITIES FOR RTP PROGRAM IN SMART

Peak
-0.1
0.045
0.027

Peak
Off-Peak
Low
VI.

Off-Peak
0.045
-0.1
0.021

Low
0.027
0.021
-0.1

50

g
1800
1700
1600

MW

1500
1400
1300
1200

Initial Load curve

RTP Program (Smart Grid)
0

10

12

14

16

18

0.8217
0.9310
g

SIMULATING THE INFLUENCE

1100

Load factors for different load curves

55

In this section the influence of the defined scenario is

simulated on system's load curve.
In an actual market, changes in load, lead to changes in
market price; Therefore for analyzing the effect of smart grid
on load and price curves during one day, it must be noted that
in RTP program unlike normal TOU programs in which only
price affects demand, demand would affect the price curve too
and this happens through interactions between demand and
supply side in real time. So in order to derive the load curve in
smart grid's environment in the presence of RTP program,
load shape should be derived in an iterative procedure. Fig. 1
shows the initial load curve and the load curve using RTP
program enabled by Smart Grid. The RTP program (Smart
Grid) has been executed on selected buses demonstrated in
section III.
The load curve pertaining to smart grid shown in fig. 1 has
been evaluated through 4 iterations which is believed to be
enough for modeling the effect of smart grid. Further
iterations would make the result to become very far from
reality of power system. As it could be seen in fig. 1, the
ultimate load curve in smart grids environment is much
smoother with a high load factor (average to peak demand
ratio) which shows the efficient operation of smart power grid.
Smart grid has also solved the problem of occurrence of a
peak load during the day which could eventually reduce the
harms that are exerted to the environment and provide us with
a much more environmental friendly electricity grid. Table III
demonstrates load factors pertaining to each curve. The
smoother load curve in smart grids environment, leads to a

1000

Table III.

Initial Load Factor

Smart Grid's Load Factor

GRID

20

22

24

Hours

Fig. 1. Comparison between initial load curve and load curve

using RTP in Smart Grid

$/MWh

TABLE II.

45

40

Initial Price Curve

RTP Program (Smart Grid)
35

10

12

14

16

18

20

22

24

Hours

Fig. 2. Energy price using RTP program in Smart Grid

smoother price curve consequently and price volatileness and

price spikes are effectively eliminated. Fig. 2 compares the
initial price curve with the price curve using RTP program in
smart grid.
As it could be seen in fig. 2, smart grid has helped the
system to work more efficiently and has provided consumers
with lower electricity price during the day.
VII. AKNOWLEDGMENT
Pouyan Khajavi would like to thank Mapna Group and
Monenco Iran consulting engineers for the sponsorship of this
paper.
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