The operation of a large and complex electric power system requires meticulous and rigorous study and incessant planning. All the players involved, must plan ahead to account for the uncertainties that can affect the hour-to-hour, day-to-day, medium-term and long-term supply of electricity. Medium-term operations and planning provides the players with guidelines and strategies for short-term operating decisions vis-à-vis the market. Adequate planning helps the players to mitigate or be prepared for unforeseen circumstances encountered during scheduling of electricity generation at any stage. This thesis focuses on some aspects of the least explored medium-term operations and planning issues in power systems in the deregulated electricity market environment. The issues addressed in the thesis are diverse but inter-linked as medium-term problems, which have surfaced due to deregulation or are outcomes of unique thought-processes emerging from the restructuring phenomenon. The thesis presents a novel approach to security coordinated maintenance scheduling in deregulation wherein the ISO does not generate a maintenance schedule by itself, but assesses the maintenance schedules from individual gencos by incorporating them in a medium-term security constrained production scheduling model, and verifying whether they result in unserved energy at one or more buses. Based on the information on bus-wise unserved energy, the ISO generates corrective signals for the genco(s), and directs them to alter their maintenance schedules in specific periods and re-submit. The proposed scheme exploits the concept of commons and domains to derive a novel factor to allocate the unserved energy at a bus to a set of generators responsible. The coordination scheme is based on individual genco’s accountability to unserved energy at a bus. Another important question addressed in the thesis is whether there is a need to consider customer’s locations in the power system when the utility provides service to them. In other words, whether the reliability of the load service provided by the utility varies across the system, from bus to bus, and if so, how are the Locational Marginal Prices (LMPs), which are determined from market auctions, affected by such variations. The thesis also answers the important question of how the LMPs can be differentiated by the Load Service Probability (LSP) at a particular location, so that it is fair to all customers. A new approach to determining the bus-wise LSP indices in power systems is proposed in the thesis. These LSP indices are arrived at by defining and computing bus-wise Loss of Load Probability (LOLP) indices. The discrepancy in LMPs with respect to the bus-wise LSP is then investigated and the bus-wise LSP indices are thereafter utilized to formulate a novel proposition for LSP-differentiated LMPs for electricity markets. The thesis furthermore addresses the medium-term Transmission Reinforcement Planning (TRP) problem and proposes a practical approach to TRP by making use of standard design practices, engineering judgement, experience and thumb-rules to construct a Feasibility Set. The Feasibility Set helps in limiting the type and number of reinforcement options available to the transmission planner in selected existing corridors. Mathematical optimization procedure is then applied considering the Feasibility Set, to attain an optimal set of reinforcement decisions that are economical and meets the system demand in the medium-term, without overloading the transmission system. Two different solution approaches- the Decomposition Approach and the Unified Approach are proposed to solve the TRP optimization problem.

The operation of a large and complex electric power system requires meticulous and rigorous study and incessant planning. All the players involved, must plan ahead to account for the uncertainties that can affect the hour-to-hour, day-to-day, medium-term and long-term supply of electricity. Medium-term operations and planning provides the players with guidelines and strategies for short-term operating decisions vis-à-vis the market. Adequate planning helps the players to mitigate or be prepared for unforeseen circumstances encountered during scheduling of electricity generation at any stage. This thesis focuses on some aspects of the least explored medium-term operations and planning issues in power systems in the deregulated electricity market environment. The issues addressed in the thesis are diverse but inter-linked as medium-term problems, which have surfaced due to deregulation or are outcomes of unique thought-processes emerging from the restructuring phenomenon. The thesis presents a novel approach to security coordinated maintenance scheduling in deregulation wherein the ISO does not generate a maintenance schedule by itself, but assesses the maintenance schedules from individual gencos by incorporating them in a medium-term security constrained production scheduling model, and verifying whether they result in unserved energy at one or more buses. Based on the information on bus-wise unserved energy, the ISO generates corrective signals for the genco(s), and directs them to alter their maintenance schedules in specific periods and re-submit. The proposed scheme exploits the concept of commons and domains to derive a novel factor to allocate the unserved energy at a bus to a set of generators responsible. The coordination scheme is based on individual genco’s accountability to unserved energy at a bus. Another important question addressed in the thesis is whether there is a need to consider customer’s locations in the power system when the utility provides service to them. In other words, whether the reliability of the load service provided by the utility varies across the system, from bus to bus, and if so, how are the Locational Marginal Prices (LMPs), which are determined from market auctions, affected by such variations. The thesis also answers the important question of how the LMPs can be differentiated by the Load Service Probability (LSP) at a particular location, so that it is fair to all customers. A new approach to determining the bus-wise LSP indices in power systems is proposed in the thesis. These LSP indices are arrived at by defining and computing bus-wise Loss of Load Probability (LOLP) indices. The discrepancy in LMPs with respect to the bus-wise LSP is then investigated and the bus-wise LSP indices are thereafter utilized to formulate a novel proposition for LSP-differentiated LMPs for electricity markets. The thesis furthermore addresses the medium-term Transmission Reinforcement Planning (TRP) problem and proposes a practical approach to TRP by making use of standard design practices, engineering judgement, experience and thumb-rules to construct a Feasibility Set. The Feasibility Set helps in limiting the type and number of reinforcement options available to the transmission planner in selected existing corridors. Mathematical optimization procedure is then applied considering the Feasibility Set, to attain an optimal set of reinforcement decisions that are economical and meets the system demand in the medium-term, without overloading the transmission system. Two different solution approaches- the Decomposition Approach and the Unified Approach are proposed to solve the TRP optimization problem.