Impact of gas third party access in the unit commitment optimal solution

Abstract

The importance of the natural gas sector in the electric power industry has increased substantially over the last decades, reaching 21 generation capacity in Europe in 2016. Generation companies that own gas fired units (GFUs), such us combined cycle gas turbines, have to take into account not only the fuel and the operation and maintenance costs, but also the costs related to the third-party access (TPA) tariffs to the gas network as any other gas consumer. This paper highlights the importance of modeling these TPA tariffs in a proper manner as they represent a significant share of the total operation cost of GFU. In addition, the fact that TPA final costs depend on the daily gas consumption for the whole month, makes traditional short-term unit-commitment (UC) models unable to capture the impact of the new complicating constraints. This paper presents the mathematical formulation of a UC model that models the TPA tariffs to the gas network in a more realistic manner where a joint assessment is formulated for all the units that withdraw gas from the same node of the gas network. The paper includes an example case that illustrates the impact on the optimal hourly scheduling of such detailed modeling, and it compares the results with the standard formulation based on individual cost functions of each thermal unit.