Abstract:
Electricity transmission and distribution companies own and maintain the lines which carry electricity. Their income is based upon the tariffs they charge generators and retailers for using their lines. Consumers equipped with smart meters are able to carefully manage their load profiles and respond to changes in line tariffs. This thesis will examine lines tariffs by developing a mathematical model. The players involved will be analysed, and their optimal strategies determined. This optimisation will be quantitative, using a mixed integer linear programming approach. Optimal behaviour of the participants will reveal properties allowing us to discuss possible standardisation of tariff structures.