High Voltage Direct Current (HVDC) Optimization in Market Operations Under Increasing Renewable Shares

Yonghong Chen; Jose Daniel Lara; Rodrigo Henriquez-Auba; David Oates; Congcong Wang; Matthew Tackett

doi:10.1109/GreenTech68285.2026.11471637

High Voltage Direct Current (HVDC) Optimization in Market Operations Under Increasing Renewable Shares

Yonghong Chen
, Jose Daniel Lara
, Rodrigo Henriquez-Auba
, David Oates
, Congcong Wang
, Matthew Tackett

Grid Planning and Analysis Center

Midcontinent Independent System Operator

Research output: Contribution to conference › Paper

Abstract

With the growing share of renewable energy and the integration of flow-controllable high-voltage direct current (HVDC) lines, market clearing models warrant further investigation. This paper identifies several potential issues, including stability risks and high transmission losses resulting from sizeable circular power flows between alternating current (AC) and HVDC systems. A set of small examples is developed to illustrate the potential causes of circular flows under existing market clearing models. A circular flow detection method is implemented and used to evaluate production-scale market clearing models under existing and future high-renewable scenarios. Potential methods are proposed to mitigate the observed circular flow.

Original language	American English
Number of pages	6
DOIs	https://doi.org/10.1109/GreenTech68285.2026.11471637
State	Published - 2026
Event	2026 IEEE Green Technologies Conference (GreenTech) - Boulder, CO Duration: 25 Mar 2026 → 27 Mar 2026

Conference

Conference	2026 IEEE Green Technologies Conference (GreenTech)
City	Boulder, CO
Period	25/03/26 → 27/03/26

NLR Publication Number

NLR/CP-6A40-93089

Keywords

circular flow
HVDC
security-constrained economic dispatch
transmission losses

Access to Document

10.1109/GreenTech68285.2026.11471637

Cite this

@conference{e3bdd0351326491d8e8ff2e653182557,

title = "High Voltage Direct Current (HVDC) Optimization in Market Operations Under Increasing Renewable Shares",

abstract = "With the growing share of renewable energy and the integration of flow-controllable high-voltage direct current (HVDC) lines, market clearing models warrant further investigation. This paper identifies several potential issues, including stability risks and high transmission losses resulting from sizeable circular power flows between alternating current (AC) and HVDC systems. A set of small examples is developed to illustrate the potential causes of circular flows under existing market clearing models. A circular flow detection method is implemented and used to evaluate production-scale market clearing models under existing and future high-renewable scenarios. Potential methods are proposed to mitigate the observed circular flow.",

keywords = "circular flow, HVDC, security-constrained economic dispatch, transmission losses",

author = "Yonghong Chen and Lara, \{Jose Daniel\} and Rodrigo Henriquez-Auba and David Oates and Congcong Wang and Matthew Tackett",

year = "2026",

doi = "10.1109/GreenTech68285.2026.11471637",

language = "American English",

note = "2026 IEEE Green Technologies Conference (GreenTech) ; Conference date: 25-03-2026 Through 27-03-2026",

}

TY - CONF

T1 - High Voltage Direct Current (HVDC) Optimization in Market Operations Under Increasing Renewable Shares

AU - Chen, Yonghong

AU - Lara, Jose Daniel

AU - Henriquez-Auba, Rodrigo

AU - Oates, David

AU - Wang, Congcong

AU - Tackett, Matthew

PY - 2026

Y1 - 2026

N2 - With the growing share of renewable energy and the integration of flow-controllable high-voltage direct current (HVDC) lines, market clearing models warrant further investigation. This paper identifies several potential issues, including stability risks and high transmission losses resulting from sizeable circular power flows between alternating current (AC) and HVDC systems. A set of small examples is developed to illustrate the potential causes of circular flows under existing market clearing models. A circular flow detection method is implemented and used to evaluate production-scale market clearing models under existing and future high-renewable scenarios. Potential methods are proposed to mitigate the observed circular flow.

AB - With the growing share of renewable energy and the integration of flow-controllable high-voltage direct current (HVDC) lines, market clearing models warrant further investigation. This paper identifies several potential issues, including stability risks and high transmission losses resulting from sizeable circular power flows between alternating current (AC) and HVDC systems. A set of small examples is developed to illustrate the potential causes of circular flows under existing market clearing models. A circular flow detection method is implemented and used to evaluate production-scale market clearing models under existing and future high-renewable scenarios. Potential methods are proposed to mitigate the observed circular flow.

KW - circular flow

KW - HVDC

KW - security-constrained economic dispatch

KW - transmission losses

U2 - 10.1109/GreenTech68285.2026.11471637

DO - 10.1109/GreenTech68285.2026.11471637

M3 - Paper

T2 - 2026 IEEE Green Technologies Conference (GreenTech)

Y2 - 25 March 2026 through 27 March 2026

ER -

High Voltage Direct Current (HVDC) Optimization in Market Operations Under Increasing Renewable Shares

Abstract

Conference

NLR Publication Number

Keywords

Access to Document

Fingerprint

Cite this