The document discusses the concept of a Global Energy Interconnection (GEI) that would connect power systems across continents. It describes GEI as an objective trend in expanding international power interconnections. The document outlines several stages for creating GEI by 2050, starting with coordinating national power system development and using existing interconnections, then developing large renewable energy zones and continental interconnections by 2040, and finally fully connecting all continents by 2050 using ultra-high voltage transmission lines. Realizing GEI would allow large-scale development of renewable energy sources, increase power's share of final energy use, and replace fossil fuels with cleaner energy on a global scale.
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Global Energy Interconnection article explores development
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Global Energy Interconnection
Full-length article
Vol. 1 No. 1 Jan. 2018
DOI:10.14171/j.2096-5117.gei.2018.01.001
From interconnections of local electric power systems
to Global Energy Interconnection
Nikolai Voropai1
, Sergei Podkovalnikov1
, Kirill Osintsev2
,
1. Melentiev Energy Systems Institute SB RAS, 130, Lermontov Str., Irkutsk 664033 Russia
2. National Research University “Moscow Power Institute”, 14 Krasnokazarmennaya Str., Moscow 111250 Russia
Abstract: The interconnections of electric power systems are developed for the economic benefits and in order to increase
the overall power supply reliability and quality level. Development of power industry shows the positive effects in operation
of the country-wide electric power systems and international interconnections. Creation of World Energy System or, by the
other words, Global Energy Interconnection is objective trend on the way of expansion of international and intercontinental
electric power interconnections. Several important aspects of above mentioned problems are discussed in this paper.
Keywords: Electric Power Systems, Power Interconnections, Global Energy Interconnection.
1 Introduction
The tendency to connect electric power systems (EPS)
by AC and DC links and create large international and
intercontinental interconnections is obvious for the
specialists [1-5]. It is characterized by using so called
system effects, that appear when maneuvering energy
resources, generating capacities and power flows. In doing
so the main objective of extending and connecting EPS
is to supply electric power and power services of high
quality and with high reliability to consumers on the whole
territory of the interconnection.
Such a large international electric power infrastructure,
as any bulk system, should have hierarchical structure in
the form of several interacting electric power zones (zonal
interconnections). The conditions associated with possible
problems in technological control, with localization of
zonal electric power markets due to constraints or large
distance of power transmissions, etc. are the prerequisities
for such a zonal structure. Interconnected EPS of countries
of former USSR can be an example of hierarchical structure
because jointly operated Unified Energy System of Russia
and some other national EPS have their own structures of
local EPS [6]. European interconnection ENTSO-E and the
interconnection of the USA and Canada are the other types
of hierarchically arranged interconnections.
This paper presents historical analysis of investigations
during several last decades concerning ideology of creation
and development of international and intercontinental
electric power interconnections as the basis of World
Energy System or, by the other words, Global Energy
Interconnection. Chapter 2 deals with classification of
system effects of EPS interconnections and quantitative
estimations of such effects. Chapter 3 includes some
historical analysis of transformation of ideas in this area
and discussions of them. Chapter 4 describes the concept
of Global Energy Interconnection. Conclusions discuss the
main results of this paper.
2 System effects of interconnections
2.1 Technical system effects
The system effects in EPS are of a multi-factor
character. Traditionally the following components of the
system effects have been set off at integration of EPS [6, 7].
Received: 1 November 2017 /Accepted: 19 December 2017 / Published:
25 January 2018
Nikolai Voropai
voropai@isem.irk.ru, ni.voropai@yandex.ru
Kirill Osintsev
kirmosh@mail.ru
Sergei Podkovalnikov
podkovalnikov@isem.irk.ru
Open access under CC BY-NC-ND license.
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Nikolai Voropai et al. From interconnections of local electric power systems to Global Energy Interconnection
a) A “capacity” effect:
• A decrease in demand for installed capacity of power
plants by bringing into coincidence the load maximums,
reducing the short-term reserve, decreasing the reserves for
routine maintenance;
• An increase in firm power of hydro power plants owing
to a rise in the total firm power due to asynchronous run off in
different river basins and use of long-term regulation of water
reservoirs to the benefits of neighboring EPS;
• A more complete use of commissioned capacity by
decreasing the unused capacity in a large system.
b) A “structural” effect:
• Rationalization of power generation structure in EPS
by using energy resources that are cheap but economically
inefficient in terms of transportation, transmitting power to
neighboring systems, increasing the use of peak and free
power of hydro power plants;
• A better use of hydro power in the high water years;
• An opportunity to construct power plants successively
with the use of temporary surplus power in the other EPSs;
• Saving in the construction of electric networks for
power supply to the areas of individual EPSs joint.
c) A “frequency” effect implies a lesser impact of an
individual energy unit or a consumer in a large EPS on the
system frequency as compared to a smaller system. The
frequency effect allows the unit capacity of energy facilities
to be chosen based on the optimum in terms of technical-
economic factors, without constraints on the system
requirements.
d) An “operation” effect implies a decrease in operating
costs by optimizing the operating conditions of power
plants in the integrated system, increasing the total density
of load curves of EPSs at integration, by widely using
cheap fuels.
e) An “environmental effect” supposes improvement of
environmental situation by redistributing power generation
at power plants with its decrease in the areas with
unfavorable environmental situation.
All these components are of objective material
(technological) nature. Generally, the estimation of [8]
shows reduction of 10-12 GW in necessary installed
capacity of power plants and 12-14 million tce/year of
fuel in the Unified Energy System of former USSR in the
opposite to isolated operation of regional EPSs. European
Economic Commission estimates the similar reduction of
necessary installed capacity of power plants in 34 GW for
operation of UCPTE interconnection in 1989 [9].
However, along with the above positive system effects
there are negative system effects. They are related to
possible heavy cascade system emergencies and vulnerability
to the external factors (catastrophic natural phenomena for
example, icing, typhoons, etc., electro-magnetic exposures
of natural or technogenic-anthropogenic origin, etc.) [10].
2.2 Market system effects
At present many stakeholders are involved in operation
and development of EPSs. These are power companies,
governmental authorities, power consumers. Interests of
these stakeholders and correspondingly criteria of assessing
interests are different. Profit is the principal criterion for power
companies as participants of the wholesale electricity market.
The profitability level of electricity (budget receipts), the
influence of electric power industry on industrial output,
employment and the living standard of population, the
level of the environmental impact, energy security, etc. are
the criteria for governmental authorities. Consumers are
interested in electricity price level, reliability and quality of
power supply.
The criteria of stakeholders can be contradictory. In
particular, decisions that are effective from the state or
economic standpoint may prove unacceptable for the other
stakeholders. Many decisions cannot be taken without
matching the interests of all concerned parties and reaching
a compromise.
Let us consider the key factors which specify system
effects for different stakeholders in a market environment
(we will call them market system effects) for the structure
of electric power industry that is represented by competing
generation and sales companies, network companies as natural
monopolies, power consumers [11]. Such a structure of
electric power industry is under operation now in Russia.
Offers of the generation companies for power supply
to the wholesale market form a supply function which is
correlated with a power demand function from the sales
companies and consumers. Then the equilibrium price of
electricity in the wholesale market is determined on this
base. Taking into account the mentioned major criterion
for generation companies (profits) competition will make
them decrease expenses for power production by loading
first of all the most effective generation capacities. As a
result, the equilibrium price of electricity in the wholesale
market will decrease under market mechanisms. This is
possible at joint operation of generation companies in the
system without network constraints and also with regard to
requirements and limitations on participation of generating
units in covering the load curves, assurance of reliability of
power supply to consumers and power quality.
Correlation of the considered market system effect with
the components of technical system effects presented
in Section 2.1 shows that virtually all technical system
effects are realized in formation of the equilibrium
electricity price in the wholesale market. However, the
3. Global Energy Interconnection Vol. 1 No. 1 Jan. 2018
6
extent of their realization depends on the performance
of competitive market mechanisms. In view of the fact
that an ideal competition in electric power industry is
practically unattainable because of the limited number of
market participants, the considered market system effect
for generation companies is expected to be lower than the
potential technical system effect from the components of
Section 2.1.
Similar market mechanisms should act, when the sales
companies compete in the consumer’s electricity markets,
resulting in realization of additional components of the
market system effect at this level.
Network companies play an auxiliary part in the
considered market processes, rendering the required services
on power transmission from suppliers to consumers,
assurance of power supply reliability and power quality,
thus enhancing the market system effect owing to
electricity market functioning.
Note that for a short-term perspective the market
mechanisms operating in the electricity markets can cause
the electricity prices to decrease even below the level
determined by the complete realization of technical system
effects owing to formation of bids of generation companies
below the electricity production cost. However, if such
a situation takes place over a long period of time, it can
bring about adverse consequences: inadmissible decrease
in resources for upkeeping capacity reserves, maintenance
of equipment in working conditions, its updating and
replacement. In response, conditions for competition in the
electricity markets will disappear, the trends to sharp rise
of electricity prices and the necessity for their control will
arise.
The consumer interests expressed by their mentioned
major criteria are associated with the incentives to effective
operation of electricity markets, i.e. the maximum realization
of the market system effect and correspondingly the electricity
price cut.
The interests of governmental authorities are contradictory
to a certain extent. The electric power industry, for example,
will be highly profitable only at high profits of power companies
that are attainable at high electricity prices. Simultaneously
the efficiency of industrial production, the living standard
of population and other interests demand that these prices
be declined. However, on the whole the governmental
authorities are certainly interested in the effective operation
of electricity markets, i.e. the maximum realization of the
market system effect.
Note that the real effect from realization of measures
to intensify interconnection of EPSs for the stakeholders
depends on the efficiency of organizational and economic
management system for electric power industry. It
determines to a great extent redistribution of the real effect
among the stakeholders and can both contribute to and prevent
from realization of the technical system effects. Actually
the world experience shows that the effective competition
in the wholesale electricity market is a failure because of
frequently existing oligopoly and as a result, absence or
insufficient use of the market system effects.
3 Historical aspects of the problem
R.B. Fuller [12] was apparently the first to mention
the idea of Global Power Interconnection in his works
in the early 1980s. This idea was brought to a detailed
concept by Y.N. Rudenko and V.V. Ershevich in [13]. In
1986 the Global Energy Network Institute was established
in San-Diego to work out the problem of global power
interconnection design [14].
On the initiative of Y.N. Rudenko, an international
conference “The World Energy System” was established
in November 1991. The conference was held in different
countries: in Russia, Hungary, Romania, Italy, Canada,
Japan and some others.
The Asia Pacific Energy Research Center (APERC)
was established in 1996 in Tokyo by the initiative of Asia
Pacific Economic Cooperation Economic leaders at the
Osaka Summit in 1995. The research area of APERC
covers all the industries of the energy sector of the region.
An important direction of the research is related to the
potential and problems of interstate power interconnections
[16,17].
In 1998, the International Conference “Asian Energy
Cooperation” was established at the Melentiev Energy
Systems Institute SB RAS to be held every two years. The
topic of the Conference embraces the issues of energy
cooperation on the Asian continent with a focus not only on
electric power systems and their interconnections but also
systems for gas and oil supply, especially in the Northeast
Asia, and the interdisciplinary issues within energy sectors
of various countries.
In the 1990s-2000s, Energy Systems Institute alone
and together with the other institutions performed a great
number of studies to develop conceptual principles and assess
the prospects for the interstate power interconnections, first of
all in Northeast Asia and also in Eurasian continent [18-21].
Fig. 1 demonstrates some aspect of the developed concepts.
In 2015, significant achievements in the UHV power
transmission technologies [11] gave a new impetus to
the idea of Global Energy Interconnection which was
developed in the eponymous book [23] by the Chairman of
State Grid Corporation of China Liu Zhenya. The book was
published in the Chinese, English and Russian languages,
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Nikolai Voropai et al. From interconnections of local electric power systems to Global Energy Interconnection
and was presented at the international conference “Global
Energy Interconnection”. Before the Conference the
international association “Global Energy Interconnection
Development and Cooperation Organization” (GEIDCO)
had been founded. During the conference and after it,
the arrangements were reached and some agreements for
cooperation were signed, including those concluded by the
organizations and experts from Russia. In 2017, GEIDCO
established the international journal “Global Energy
Interconnection”.
4 Concept of Global Energy Interconnection
4.1 Main points of the strategy
The Global Energy Interconnection (GEI) concept
is based on a strategy of replacing fossil fuels with
environmentally clean energy sources, and increasing the
share of electric power in the final energy consumption.
Large-scale development of renewable energy sources,
namely, wind, solar and hydro is expected. Moreover, some
countries will develop nuclear energy, and soon it will be
based on a closed fuel cycle with fast neutron reactors [24].
It is planned to expand the network of UHV transmission
lines for long-distance power transmission and connection
of remote GEI parts with one another. Fig. 2 demonstrates
a structural scheme of the future GEI [23].
In 2000-2013 the total share of renewable energy
sources (except hydro) in the world electricity production
increased from 1.8 to 4.8 per cent. With such dynamics, the
environmentally clean energy sources will be able to meet
80 per cent of the world demand for electricity by 2050,
thus providing a switch to a new model of electric power
system operation. The increase in the share of electric
power in the final energy consumption is planned by
cutting direct use of coal, petroleum products and natural
gas in the industry and households. Currently, for example,
the share of electric heating in European countries reaches
90 per cent. Electric power favorably differs from the other
primary energy resources by the convenience of use,
environmental security and cost-effectiveness both when
transmitted and when consumed. About one third of the
world energy consumption falls on the transport industry.
However, the energy conversion efficiency of petroleum
products makes up 15-20 per cent, and the possibilities of
its further increase are insignificant. At the same time the
efficiency of electric power conversion to kinetic energy,
considering the efficiency of battery charging system,
reaches 80 per cent. The share of electricity in the world
energy consumption in 1990-2012 increased from 34 to
38.1 per cent, and its rise to 80 per cent is expected by
2050 [25].
4.2 Stages of creation
Global Energy Interconnection in the time horizon to
2050 will connect all continents and largest areas where the
renewable and other energy sources are concentrated. The
formation of GEI, however, will be a staged process [23].
In the first stage until 2030, it is necessary to provide a
coordinated development of national and international electric
power systems and force the adoption of environmentally
clean energy sources worldwide. The generated electricity
can be supplied to consumers through existing and
evolving international electric power interconnections.
In this case, the system benefits from the optimal use of
various energy sources that were enumerated in Section
2 can be implemented to the maximum, thus enhancing
the efficiency of electric power system operation and
expansion.
The key objectives of the second stage (2030-2040) will
be the development of the largest areas with concentrated
renewable energy sources in arctic and equatorial regions as
well as design of continental power interconnections. In this
Fig. 1 Structure of interstate power interconnection in
Northeast Asia in the future
IPS of North
Chinato the rest of China
NPS of
Mongolia
IPS of
Siberia
IPS of
Northeast China
to Urals
to Kazakhstan
toCentralAsia
IPS of Far
East
NPS of
DPRK
NPS of
RoK
NPSofJapan
RPSof
Sakhalin
Near-border
export to
HeilongjiangNear-borderexport toManzhouli
RPS-regional power system
IPS-interregional power system
NPS-national power system
Fig. 2 A structural scheme of Global Energy Interconnection
5. Global Energy Interconnection Vol. 1 No. 1 Jan. 2018
8
stage, the construction of main transmission lines between
continents will be started. Another crucial objective will
be to devise the principles for coordinating joint efforts
and incentivizing the cooperation among countries to
build the Global Energy Interconnection and control its
operation.
The third stage (2040-2050) suggests the completion of
the GEI concept implementation through the establishment
of a system for technological and commercial control,
which can be based on different principles and structures
[21,26]. This will allow a substantial rise in the international
and intercontinental power exchanges, a reduction in power
cost, and higher reliability of power supply.
4.3 Key technologies
The environmentally clean technologies for power
production and UHV transmission will underpin the
GEI [23].
The main directions in the enhancement of wind
generation imply the development of wind energy resources
with low values of average wind speed, an increase in
the ability of equipment to withstand extreme climatic
conditions, development of offshore wind parks, and
improvement in wind speed forecast accuracy. In solar
generation, the crucial directions will be the production of
highly effective photovoltaic materials and thin-film solar
panels, simplification of their production and installation,
as well as the development of methods for solar activity
monitoring.
Today the technologies of wind generation are developing
rather actively: annual power output involving wind power
exceeds 650 TWh, which is about 3 per cent of the world
electricity consumption. An impressive potential of wind
power is emphasized in [27]. According to this research,
by the year 2040 the share of wind generation in the power
generation mix can reach 30 per cent under favorable
conditions. An intensive development of technologies in the
first decade of the 21 century made it possible to create an
8 MW wind turbine which decreased the cost of electricity
by 90 per cent. In the coming decade, an additional 50
per cent reduction in the cost of electricity generated by
wind turbines is expected due to an increase in the single
capacity of wind turbines.
Owing to the government subsidies to the comparatively
expensive solar power in many countries, the installed
capacity of solar power plants in the world exceeded 200
GW, as of 2015. The main problem is related to an increase
in the solar power conversion efficiency, which is now
about 20 per cent. Nevertheless, the theoretical efficiency
of the monocrystalline and polycrystalline silicon cells is 38
per cent. The cost of electricity generated by photovoltaics
is expected to decrease by 55 per cent by the year 2025 and
by the year 2050 this index is expected to be even lower
than for the conventional thermal power plants.
The technologies of solar thermal power generation
have been actively developing since the 1970s. Currently,
the efficiency of solar thermal power plants makes up 25-
30 per cent. According to the forecast, by the year 2050 the
cost of electricity from solar thermal power plants will be
lower than for the conventional ones.
The forecast of the future GEI should consider the
increasingly more real prospects for the accelerated
development of safe and reliable nuclear power industry,
particularly owing to the considerable achievements in the
nuclear waste treatment. Russia is ranked first in the world
in this essential technology, which is confirmed by the BN-
800 fast breeder reactor put into service at the Beloyarskaya
nuclear power plant[24].
Development of power storage technologies particularly
intensive in the last decades is of vital importance for
large-scale development of renewable energy sources and
for reliable and cost-effective operation of electric power
systems. Power storage has broad prospects for the future
GEI.
To transmit large amounts of electricity at long distances,
it is proposed to construct a network of UHV DC and AC
transmission lines. The first 1000 kV AC transmission
line in the world was put into service in China in 2009.
Currently, China has several successfully operating
transmission lines of such kind, and 6 ±800 kV DC
transmission lines. Brazil and India are constructing
four more DC transmission lines of this voltage class.
The studies and testing of ±1100 kV DC equipment are
conducted to transmit power at a distance of 5000 km with
a transfer capability of 12 GW.
Of great importance are cable UHV transmission
lines that can negotiate water barriers to interconnect
power systems and supply power from offshore power
plants. Since the 1990s there has been a trend toward the
predominance of cable DC transmission lines among the
electric facilities put into operation in the world. In the
case of successful development of cable ±800 kV DC
transmission lines, it will be possible to provide power
transmission through water barriers at distances above
1000 km.
4.4 Possible challenges
As well as many ambitious projects, the concept of
Global Energy Interconnection has great opportunities to
promote promising technologies and advanced solutions,
however it faces some justified criticism. The ideologists of
the concept [23] also recognize potential challenges.
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Nikolai Voropai et al. From interconnections of local electric power systems to Global Energy Interconnection
Interconnected Systems, Summary of the Session 4, Tunis, 3-5
May 1993, 11 p
[4] Antimenko Y, Ershevich V, Rudenko Y, Voropai N et al (1992)
The USSR Unified Power Grid. The experience and problems
of development. In: Proceedings of CIGRE, 1992 Session, Paris,
France, Aug 30-Sept 5, 1992, 4 p
[5] The benefits of integration in the European electricity system.
Work Document, Commission of the European Communities.
Brussels, 1990, 76 p
[6] Ershevich VV, Antimenko YL (1993) Efficiency of the Unified
electric power system operation in the territory of the former
USSR. In: Proceedings of RAS, Power Engineering, No.1, pp
22-31 (in Russian)
[7] Voropai NI, Trufanov VV, Selifanov VV et al (2004) Modeling
of power systems expansion and estimation of system efficiency
of their integration in the liberalized environment. In:
Proceedings of CIGRE, 2004 Session, Paris, France, 2-6 Sept
2004, Report C1-2/16, 6 p
[8] Bondarenko AF, Mogirev VV, Morozov FY et al (1993)
Problems and prospects of parallel operation of power systems
under new conditions. In: Proceedings of RAS, Power
Engineering, No.1, pp 18-21 (in Russian)
[9] Ratnikov V, Glukhovskiy M (1991) Will kilowatt-hour be
exported? Energiya, No.6: 6-8 (in Russian)
[10] Rudenko YN, Ushakov IA (1986) Reliability of energy systems.
Publishing House Nauka, Moscow (in Russian)
[11] Voropai NI, Ilkevich NI, Rabchuk VI et al (2004) Technological
and corporate aspects of infrastructural energy systems
development on the Eurasian continent. In: Proceedings of
the 4rd International Conference “Asian Energy Cooperation:
Interstate Infrastructure and Energy Markets”, Irkutsk, Russia,
13-17 Sept 2004, pp 17-34
[12] Fuller RB (1981) Critical path. St. Martin’s Press, New York,
336 p
[13] Rudenko YN, Ershevich VV (1991) Is it possible and expedient
to create a global energy network? International Journal of
Global Energy Issues 3(3): 159-165
[14] Global Energy Network Institute. http://www.geni.org
[15] Kucherov YN, Rozanov MN, Rudentko YN et al (1991)
Problems in creation and operation of the interconnected power
system of West and East Europe and Union. In: Proceedings
of the 1st International Conference “World Energy System:
Technical Possibilities and Benefits”, St. Petersburg, Russia, 4-6
Nov 1991, 136 p
[16] Power interconnections in the APEC region: Current status and
future potentials. Tokyo, APERC, 2000, 154 p
[17] Electric power grid interconnections in the APEC region. Tokyo,
APERC, 2004, 172 p
[18] Voropai NI, Ershevich VV, Rudenko YN (1995) Development
of international power interconnections as the way to creation
of the World Power System. ESI Preprint, Irkutsk, 29 p (in
Russian)
[19] Voropai NI, Koshcheev LA (2003) Conceptual view on the
Eurasian superpool and requirements to Russia’s unified
For example, the probability of geopolitical conflicts
similar to the oil crises of the 20th
century and local tensions
does not disappear. The construction and operation of GEI
will be impossible without coordinated actions and trust-
based partnership of all countries, whose prospects are
doubted by some experts. The distribution of economic
effect among the GEI member countries, in particular, can
become one of the reasons for disagreements. Moreover, in the
light of the interconnection scale, the issues of technological
control and market interaction will be essential.
Thus, the established international association of organi-
zations and experts “GEIDCO” has become of paramount
importance. This international collegial body will provide
the development of ideology, search for solutions to the
set problems, and choice of a single vector of the world
power industry development as an interstate infrastructure
ensuring economic, reliable and sustainable power supply
to consumers.
5 Conclusions
Despite potential technical and political difficulties
and unsolved problems, the idea of Global Energy
Interconnection represents a unique concept intended
to comprehensively solve the problems which require
the resources that may be insufficient even in the highly
developed countries and their existing economic and
political associations. It is the expansion of cooperation
and partnership on fair terms, that underlies the prospects
for the long-term effective, reliable and sustainable
development of the world power industry as a platform
for the uniform power supply to the economy and social
sphere in all countries. Moreover, the foreseeable time and
rather real tools for the concept implementation provide
an additional impetus to the experts worldwide to alter the
structure and character of the future power industry based
on the idea of Global Energy Interconnection.
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Biographies
Nikolai Voropai received his degrees of
Candidate of Technical Sciences at the
Leningrad Polytechnic Institute in 1974 and
Doctor of Technical Sciences at the Siberian
Energy Institute in 1990. He is President of
the Energy Systems Institute (Siberian Energy
Institute until 1997) of the Russian Academy
of Science, Irkutsk, Russia. He graduated
from the Leningrad (St. Petersburg) Polytechnic Institute in 1966.
His research interests include: modeling of power systems, operation
and dynamics performance of large power grids; reliability and
security of power systems; development of national, international
and intercontinental power grids; smart grids.
Sergei Podkovalnikov is with Energy
Systems Institute SB RAS. He graduated
from Irkutsk Polytechnic Institute in 1980 as
an electrical engineer. In 1989 he defended
the thesis of candidate of technical sciences
on development and application of methods
for decision-making under uncertainty and
multiobjectiveness to energy studies. His
research interests are: methods for decision-making in energy under
uncertainty and multiobjectiveness, interstate electric ties and
interconnected power systems, expansion planing of electric power
industry in market environment.
Kirill Osintsev is the lecturer of National
Research University “Moscow Power
Institute”. He graduated from Ural Federal
University, Ekaterinburg. Russia. His research
interests include power system operation,
control and protection, interconnected power
systems.
(Editor Shuo Feng)