Penalty Evaluation in Deregulated Power System Using UI Tariff

Throughout the world, power industries are moving rapidly from regulated conventional set up to a deregulated environment. However still many power systems experienced energy shortage problems and caused heavy losses for industries and inconvenience of social life and India is one of them. However the Unscheduled Mechanism (UI) enforced in the interstate sale-purchase of power has succeeded in transforming the fabric of the Indian power system operation in a manner unparallel. In this paper we propose a new methodology for penalty evaluation in deregulated power system using UI tariff. The scheme is linked to Availability based tariff which is prevailing in India since 2002.Moreover we have drawn a flow chart depicting how this method could be beneficial.