A procedure for determining customer interruption costs for use in a power system reliability cost/benefit evaluation is presented. The procedure uses the results of a calculation of the frequency and duration of reserve margin states together with emergency operating procedures, customer curtailment strategies, and interruption cost coefficients to predict the total expected customer interruption costs for a given power system configuration. The customer interruption costing procedure is described, an example is given, and the results of the application of the procedure in a generation system reliability cost/benefit evaluation are discussed.
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Poore et al. (1983) studied this question.
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