Evaluation of emission allocation criterion for the reduction of emission in hybrid power system using PSO

Power sector is one of the major sources of green house gas emission throughout the world. The optimum allocation of emission allowances to this sector can reduce the emission significantly and contribute to mitigate the climate change. Globally, major companies and electrical utilities are interested in optimal allocation criteria for meeting their emission reduction targets. This paper presents the impact of emission allocation criteria on the emission reduction and operational cost of the power system. The emissions have been allocated to generating units using two criteria namely auction and based on the power output of the generating units. The different generation technologies were considered in hybrid power system and emission reduction targets were fixed. The prices of emission allowances were varied and their effect on emission reduction was analyzed. The higher prices of emission allowances can decrease the carbon emission to an extent only. The inclusion of clean renewable generation technologies in the generation mix reduces the emission and generation cost significantly. The optimum emission allocation criterion can be a critical factor in reduction of emission. The particle swarm optimization (PSO) technique has been applied to analyze the hybrid power system.