Enzo Sauma. 2008. Stochastic Dynamic Model of Transmission Investments in Radial Networks. Proceedings of the 18th Triennial Conference of the International Federation of Operational Research Societies (IFORS), Sandton, Africa del Sur, 13 18 de Julio, 2008 (2008)

Stochastic Dynamic Model of Transmission Investments in Radial Networks

Revista : Proceedings of the 18th Triennial Conference of the International Federation of Operational Research
Tipo de publicación : Conferencia No DCC

Abstract

In this paper, I formulate a stochastic dynamic model of transmission investments and use this model to compare the behavior of a network planner when considering and when ignoring the dynamic nature of transmission investments. I also characterize the structure of an optimal transmission investment policy in the case of a particular two-node network. I illustrate the results with a numerical example.