The shapley rule for loss allocation in energy transmission networks

Abstract

We consider the problem of loss allocation in energy transmission networks. We introduce the Shapley rule defined as the Shapley value of an associated cooperative game. We study the properties satisfied by the Shapley rule. We compare this rule, in terms of the principles mentioned in the EU regulations, with the rules studied in [1]. Finally we apply this rule to the Spanish gas transmission network and carry out a simulation analysis to explore new connections between the different allocation rules.