EE 458

Course objectives
Economic Systems for Electric Power Planning

(Fall 2019)

T, Th 9:30-10:50, Gilman 2205

Instructor: Professor James McCalley

Dr. McCalley's Home Page



Course objectives

Course structure


2005-2007 Catalog listing:

(Cross-listed with ECON). (3-0) Cr. 3. Prereq: E E 303 or ECON 301.

Evolution of electric power industry. Power system operation and planning and related information systems. Linear and integer optimization methods. Short-term electricity markets and locational marginal prices. Risk management and financial derivatives. Basics of public good economics. Cost recovery models including tax treatment for transmission investments.


Course Objectives:

Objective 1: Articulate the basic principle of the simplex method for solving linear programs.

Objective 2: Formulate and solve a linear program using Matlab, Excel, or CPLEX.

Objective 3: Articulate basic principles of branch & bound algorithm for solving integer programs.

Objective 4: Formulate and solve an integer program using Matlab, Excel, or CPLEX.

Objective 5: Identify the main design attributes of an electricity market system.

Objective 6: Set up and solve for the competitive equilibrium of a 2 or 3 agent electricity market.

Objective 7: Set up and solve for the social optimum and locational marginal prices of a network

with agents having elastic supply and demand functions, using linear programming.

Objective 8: Identify how security constrained optimal power flow problem and the unit commitment problem are used in electricity markets.

Objective 9: Identify the main components of the transmission planning process.

Objective 10: Identify relationship between transmission planning process & electricity markets.