Formulation of the Mathematical Model to Maximize the Total Annual Cost Savings of a Power Transmission or Distribution System

In this article the authors propose a mixed integer non-linear programming algorithm (MINLP) to calculate the annual total cost savings (TCS) by optimizing the location and size, of Static Synchronous Compensators (STATCOMs) in transmission and distribution systems of electrical energy. The MINLP algorithm is focused on minimizing the active power losses present in the system lines in order to maximize its annual TCS. The algorithm was implemented in the General Algebraic Modeling System (GAMS) software for the IEEE-33 radial distribution system, the results of which were compared with those presented by other authors.