A bidding mechanism for maintenance of generation units considering inter-ISO power exchange

Jianfeng Fu*, Alfredo Núñez, Bart De Schutter

*Corresponding author for this work

Research output: Contribution to journalArticleScientificpeer-review

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To ensure the reliability of power systems, the independent system operator (ISO) manages the planning process of the maintenance of generation units for generation companies (GENCOs). This paper focuses on a widely studied two-layer long-term predictive maintenance decision making framework in a deregulated environment. In the first layer the ISO-wide maintenance schedule is optimized for the GENCOs, targeting minimal total maintenance cost and degradation statuses. In the second layer, a bidding mechanism is designed for GENCOs who are not satisfied with the time slots scheduled by the first layer, so that they can bid for their preferred time slots. A novel bidding mechanism for the host ISO (i.e., the ISO that manages the maintenance planning process) is proposed, called interchangeable bidding mechanism for maintenance (IBMM). In this mechanism, the GENCOs of the host ISO can use their bid price to purchase the supportive energy from the GENCOs of the neighbor ISOs. Furthermore, they also can pay a penalty fee for reducing the amount of energy transmitted from the host ISO to the neighbor ISO with respect to what has been stipulated in the long-term inter-ISO power exchange contract. IBMM provides more opportunities for GENCOs of the host ISO to obtain their preferred maintenance time slots. Additionally, the power system reliability can be ensured. IBMM is formulated as a mixed-integer non-linear bidding programming problem. Then, the bidding programming problem is recast into a mixed-integer second-order cone programming (MISOCP) problem that can be solved using Gurobi. In the case study, the IEEE 118-bus network is studied to illustrate the performance of the proposed bidding strategy.

Original languageEnglish
Article number108595
Number of pages10
JournalInternational Journal of Electrical Power and Energy Systems
Publication statusPublished - 2023


  • Generation unit maintenance
  • Inter-ISO energy exchange
  • Maintenance bidding mechanism
  • Mixed-integer non-linear programming problem


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