Master and Research Theses Offered

by
Prof. Dr. Osman SEVAİOĞLU,

Electrical and Electronics Engineering Department,

Middle East Technical University,
06531, Balgat
Ankara, Turkey
sevaiogl@metu.edu.tr
Tel: 210 23 57
Secretary: 210 23 01-04
Fax: 210 12 61
GSM: 0 532 384 78 65
web: http://www.eee.metu.edu.tr/~sevaiogl/

1. Balancing and Settlement Task in Electricity Markets

Bilateral agreements in electricity trading. Load characteristics and residual
balancing. Principles of balancing and settlement procedure. Hardware and
software aspects. Relation between balancing and settlement procedure and
system LFC and AGC controls. Requirements and specifications for balancing
and settlement procedure.

2. Wholesale Electricity Trading

Principles of wholesale electricity trading and marketing. Principles of Bilateral
and multilateral contracting. Load characteristics and load management.
Generation capacity-load curve and cheap electricity alternatives. Risk
management, system reliability assessment. Interruptions and effect of
interruptions on customers. Loss of load probability. Cost of investment for
reducing the risk. Third party supplier contracts. Hedging. Penalty issues,
related legislation.

3. Demand Shaping and Wholesale Trading for Renewable Plants

Principles of generation demand shaping for renewable plants. Problems
associated with generation of renewables. Generation characteristics for wind
and river plants. Estimation of investment inefficiency due to irregularity of the
generation characteristics. Capacity trading and cost involved. Bilateral and
multilateral agreements for renewable plants. Feasibility analysis of pump
storage or small hydroelectric plant alternatives for capacity trading.

4. Retail Wheeling
Principles of retail wheeling. Retail wheeling instruments. Automatic meter
reading mechanisms. Metering and accounting principles. Types of retail
meters. Customer rights. Toll collection and billing and accounting procedures.
Bilateral agreements in retail wheeling. Transmission and distribution system
service charges. Pricing and tariff principles. Tariff components. Competition in
retail wheeling, demand types, cheap electricity versus electricity with quality.

5. Cost Based Distribution Tariffs

Principles of cost based tariffs. A critical review of the national tariffs versus
cost based tariffs. Distribution system losses in regions. Social aspects of
implementing cost based tariffs. Technical and social analysis of system
 losses and illicit utilization. Loss reduction principles. Estimation of annual
investment, loss and revenue. Compensation principles in cost based tariffs.
Time profile of compensation principles.

6. Estimation of the Positive Effect of Multi-Rate Meters on System

Investments
The positive effect of multi-rate meters on load shaping and the corresponding
improvement in the system investments. Reduction in generation,
transmission and distribution system investments due to load shaping.
Estimation of the increase in the revenue of the generation, transmission and
distribution systems. Development of a compensation procedure by employing
a pay-back program for the customers with multi-rate meters. A critical review
of the present legislative framework for this compensation.

7. An Examination of the Legislative Framework for the Compensation of

the Renewable Tariffs
Legislative framework for the compensation of the renewable tariffs in Europe,
USA and other developed countries. Social and economical impacts of energy
resources other than renewables to environment. Recovery and restorational
costs of these energy sources. Comparison of recovery and restorational costs
with costs related to compensation. Techniques for compensation; Reduction
in transmission and distribution system usage and operation tariffs, take or pay
obligations to be imposed on retailers and wholesalers, tax reductions, green
certificates, reliving the responsibility of balancing and settlement task and
others. Assessment of applicability of these compensation techniques. A
critical review of the draft of the new Renewables Law in terms of the
applicability of the compensation techniques included.

8. A Critical Review of EU Energy Directives in terms of Energy Prices in

the Turkish Electricity Market
A critical review of the EU Energy Directives in terms of the present structure
Turkish Energy, particularly electrical energy market. Is competition everything
? The eventual effect of the EU Energy Directives on energy prices in the
Turkish Electricity market. Potential restrictions on the development of the
usage of domestic energy resources. A critical review of the Kyoto Protocol in
terms of the restrictions to be made on the development of the usage of
domestic energy resources. A critical evaluation gains and losses in terms of
the Turkish energy market.

9. National Grid Code and the Realities of the Turkish Electricity Market
Present structure of the Turkish Electricity market. The need for Grid Code.
Transmission system service conditions. System constraints and contingency
conditions. Principles for non-discriminatory behavior and allowing third-party
access. Responsibilities, penalties, costs and payments among the
transmission system operator and user companies under normal, emergency
and restorative operating conditions. Responding to connection requests of
the users. Operation principles of the Balancing and Settlement Center in
terms of non-discriminatory behavior and allowing third-party access. Auxiliary
services, responsibilities, conditions, penalties, costs and payments for these
 services. A critical review of the Grid Code prepared for the Turkish National
Transmission System Company.

10. Distribution and Customer Service Codes

Present structure of the Turkish Electricity market. The need for Distribution
and Customer Service Codes. Main responsibilities of a distribution company
to users in terms of system maintenance, fast response, providing
documentation. Principles for non-discriminatory behavior and allowing third-
party access. Responsibilities, penalties, costs and payments among the
distribution system operator and user companies under normal, emergency
and restorative operating conditions. Responding to connection requests of
the users. Relations among other distribution companies and transmission
system operator. Measures for the performance of the company and the
service and system maintenance quality. Customer rights and legislative
aspects. A critical review of the Distribution and Customer Service Codes
prepared for the distribution companies in the Turkish Electricity Market.

11. A Critical Review of Domestic Electric Energy Metering and Recording

Systems
Examination of the structure of the Turkish retail energy market and
performing a critical review of the domestic electrical energy metering and
recording equipment. New metering and recording technologies and
possibilities of increasing competition power of the retail companies offered by
these technologies. Compatibility of these equipment to the technical features
of the distribution system control center. Possibility of offering electricity of
various quality. Feasibility of these techniques. Improvements in metering and
recording equipment in terms of detection and reduction of illicit energy
utilization. A critical review of the present secondary legislation for the design
of the metering and recording equipment. Critics of the designers of the
metering and recording equipment for the Turkish retail market on the present
secondary legislation. Modification of the present and/or development of an
alternative secondary legislation which is to be more suitable for the future of
the Turkish electricity retail market.

12. A Four Stage Transformation Procedure for Adopting BOT Plants to

Turkish Electricity Market Structure
Problems associated with energy prices in the present agreements made
between MENR and BOT companies. Development of a four stage
transformation procedure Adopting BOT Plants for competition to Turkish
Electricity Market; (a) Smoothing, (b) Transfer of ownership to company, (c)
Compensation for the difference between the price and market price, (d)
Compensation for market irregularity and release of the Take or Pay
Agreement. A critical examination of the application US CPI Indices,
escalation of the prices to bring them to present value and market risks. A
critical review of the buy-out and sell out alternatives. Comparison of the
present procedure with the buy-out and sell out alternatives.

13. Examination of Coal Resources in Turkey and Critical Evaluation of

Kyoto Protocol
 Known, possible and potential coal reserves in Turkey. A examination of the
present power generation capacity of coal plants. Potential generation
capacity of coal resources. Estimation of unit generation and investment prices
for plants with conventional and fluidized bed power generation technologies.
Recovery and restorational costs related to CO2 and SO2 pollutions.
Comparison of recovery and restorational costs versus cheapness of the
electricity obtained from coal plants. A critical review of the EU Energy
Directives and Kyoto Protocol in terms of coal resources in Turkey.

14. A Critical Study of the Master Plan for Turkish Electrical System for 2023
A critical study of the Turkish Electrical Power System for 2023. Short,
medium and long term generation, transmission and distribution perspectives.
Determining the load growth profile for 2023 by using MAED and alternative
approaches. An examination of the investments to be made in the generation,
transmission and distribution sectors for the short, medium and long term
perspectives. A search for possibility of participation of private sector to
investments in these investments.

15. A Comparative Study of two Energy Transfer Alternatives: Transferring

Energy Through 380 kV Power Lines versus Transferring Energy Through Gas
Pipeline
Turkey is presently in a state that a high percentage of its domestic power
consumption is transferred from Iran, Russia, Ukraine and Black Sea through
rather long gas pipeline infrastructure. This gas is then burned and converted
to electricity in Turkey. The alternative of transferring this power through 380
kV power lines which cost roughly about 1/3 of the former alternative is not
examined in detail. Transferring power through electrical power lines however,
is a highly attractive alternative which result in significant reductions in system
investment and operation costs and losses. In fact, this alternative is a widely
accepted power transfer technique in Europe and world. In this thesis, the two
alternatives will thoroughly be examined and a report proposing for the
application of the second alternative to MENR.

16. Survey of the Legislative Basis of BOT, BO and EGTC (Electricity

Generation and Trading Company) Projects in terms of the Present Legislation
In this thesis, the legal basis and legal restrictions on the EGTC (Electricity
Generation and Trading Companies) granted for license based on the law
4628 and the Turkish Constitution Law with the amendments made in 1999
will be studied. In addition, the legislative evolution of the Turkish electricity
market through the laws 3096, 3396, 4628, 4646 leading to an electricity
market based on competition will be examined.

17. A Critical Study on the Functions and Viability of TETAS (Turkish

Wholesale Electricity Trading Company)
In This thesis, the necessity for the establishment and main functions of the
Turkish Wholesale Electricity Sales Company, TETAS (Turkish Electricity
Trading Company) will be examined in detail. Main functions of TETAS, such
as; averaging the high prices of BOT and BO plants with that of the others
owned by EUAS (Turkish Electricity Generation Company), energy trading for
residual balancing, regulating the wholesale market prices will be examined.
 The thesis will also include a study on further functions of TETAS in terms of
its viability, future and lifetime in the long term.

18. Capacity Trading for Renewable Plants

In this thesis, capacity trading agreements to back-up renewable plants by a
wholesale company with a reliable standby capacity will be studied. The study
will include; risk analysis and production reliability of renewable plants, such
as wind and river, development of a tariff structure for the capacity charge of
the standby plant based on this risk analysis, the transmission and distribution
system usage and operation charges, an ownership model for the standby
plant by a consortium participated by the renewable companies.

19. Duties, Responsibilities, Authority and Independency of Energy Market

Regulatory Authorities
In this thesis, main functions, duties, responsibilities, authorities and
independency of Energy Market Regulatory Authorities, relations among these
authorities, ministry, Treasury and State Planning Organization (SPO) and
private companies will be reviewed in terms of the present legislations. The
thesis will also include an extensive comparative survey of the legislations,
duties, responsibilities, authorities and independency of the major regulatory
institutions in Europe, USA and Turkey, The thesis will conclude with
suggestion of revisions on the legislations to establish more independent
Energy Market Regulatory Authorities.

20. A Critical Review of the Investment in the Electrical Energy Sector

between from 2003 to 2023
In this thesis, the investment for the electrical energy sector from 2003 to 2023
will be reviewed in terms of the financial resources, privatization and transfer
of operation right procedures. The thesis will include a load forecasting
procedure implemented in the same planning period. Investment models,
possibilities and alternatives for the public and private sector participation will
be examined and the gap between the power demand and financial resources
for investment will be studied. The thesis will end with suggestions for
remedies for closing this gap.

21. Calculation of the Technical Losses in Distribution Systems

In this thesis, a computational procedure for the calculation of technical losses
in distribution systems in terms of overhead line, cable, transformer, load and
diversity characteristics will be developed. The developed computer algorithm
and code shall be tested on a typical real system obtained from TEDAS. The
effects of; unbalanced loads, losses in metering system, load diversity, iron
and copper losses in transformers, distributed loads due to line tapering will all
be taken into account.

22. A Critical Comparison on the Viability of TOOR (Transfer of Operation

Rights) and AS (Asset Sales) Models for Deregulation of Distribution and
Generation Sectors
In this thesis, the TOOR and AS Models for Deregulation of Distribution and
Generation Sectors will be compared in terms of the viability and applicability
to the Turkish electrical power sector. Possible problems arised from financial
 bottlenecks and electricity tariffs, the long and medium term constraints and
interests from the point of view of the public and private sectors will be
investigated. The thesis will end with suggestions for choosing one of these
alternative models.

23. Development of Technical Specifications for Multi-Rate Meter and

Recording System for the Turkish Electricity Market
In the first part of this thesis, a critical review on the legislation regulating the
technical specifications of multi-rate meter and recording system for the
Turkish electricity market will be performed. The study will then be
concentrated on possible problems arised in implementing these
specifications in future. The thesis will also include a study on the automatic
reading, recording devices and data transmission system connecting the
meter to distribution SCADA system. The thesis will end with suggestions for
modifications on these specifications for a more sound viability and
applicability.

24. Load Management

The thesis will cover; the definition and importance of load management, load
management techniques and instruments, load management using multi-rate
meters, incentives and penalties implemented on customers in load
management, financial analysis of load management and development of a
pay-back procedure from the generation, transmission and distribution
companies to customers. Examination of possible load management means
and instruments in the Turkish electricity market. The thesis will end with
suggestions for choosing one of most suitable load management alternatives
for the Turkish electricity market.

25. Transmission System Congestion Management

Definition of transmission system congestion problem, operating state of a
power system; secure, normal, emergency, in-exremis and restorative
operating conditions of a power system, transmission system operating
constraints, solution techniques to transmission system congestion problem,
ordering of transmission demands, auctions, implicit and explicit auctions,
capacity trading, back-trading, primary and secondary capacity trading.

26. Estimation of Wholesale Electricity Prices in the Turkish Electricity

Market until 2010
Technical, economical, social factors influencing the wholesale and retail
electricity prices in the Turkish Electricity Market, the effect of stranded costs
on prices, short, medium and long term demand projections, dependency of
prices on fuel type, domestic and import fuel alternatives and preferences,
trend of fuel prices in the world and Turkey, pricing policies of OPEC, Energy
tax policies in Turkey, the effect of deregulation and privatization, TOOR, BOT
and BO plants on electricity prices, long and medium term deregulation
policies to reduce electricity prices.

27. Electricity Distribution Business in the Turkish Electricity Market with

respect to Law: 4628
 An analysis of electricity distribution business in the Turkish Electricity Market
with respect to Law: 4628. The negative effects of eligible customers and
retailers on the sales and revenue, calculation of the distribution system
service and usage charges, calculation of asset transfer charge, the effect of
expenditures, investments and asset transfer charge on tariff, feasibility and
cash flow analysis.

28. Customer Eligibility: A Critical Evaluation in terms of Customer Rights

and Interests
Concept of customer eligibility, eligibility level, the effect of reducing eligibility
level on the revenue of the main retailer, non-discrimination and transparency
of the distribution system operator, bilateral agreements, power wheeling,
customer rights and interests, balancing and settlement duties of eligible
customers, commercially attractive power purchasing alternatives for eligible
customers.

29. Estimation of Asset Value of an Electrical Generation and/or Distribution

System Infrastructure
The main objective of this thesis is to develop a guideline for estimating the
asset value of an electrical generation an/or distribution system infrastructure
as a principal step for privatization. The study will cover; asset values of
various system elements, such as generating plant and associated
infrastructure, dam, coal reserve, transformers, lines, cables, switchgear
substations, buildings, lands, material, tendering, construction and financial
cost of these elements, calculation of the depreciated values of these
elements, estimation of the values of the customer portfolio and refurbishment
capacity of the generating plant and/or distribution system.

30. Development of a Model for Privatizing the Generation System Assets of

Turkish Electricity Generation Company (EÜAŞ)
The main scope of the thesis is to develop a model for privatizing the
generation system assets of the Turkish electricity Generation Company
(EÜAŞ). One of these models is to bundle and privatize the generation assets
with respect to certain technical and/or economical criteria. The main idea
behind this approach is to average the high generation prices of fuel-oil or gas
fired plants by merging with the rather inexpensive prices of hydroelectric or
coal plants in order to yield a reasonable marketing price. Another idea behind
this approach is to prevent the hydroelectric plants with extremely low
generation prices entering the and destroying the competition structure of the
market. An alternative model is to privatize the generation assets in the form of
single generating plants and to impose certain overhead charges to those
plants with relatively low generation prices. The thesis will concentrate on the
main advantages and drawbacks of these approaches and make a
comparison and a choice.

31. An Examination of the Influence of High Electricity Prices on the

Productivity of the Turkish Industrial, Trading and Export Sectors
In this thesis the main reasons for high electricity prices in the Turkish
electricity market will be investigated and then the possibility of reducing the
price in terms of the technical, economical, social and political components
 contributing the price structure will be examined. The influence of high
electricity prices on the productivity of the Turkish industrial and trading
sectors and the resulting consequences, such as failure in competition,
reduction in the activities of the production, consumption, trading and
exporting sectors will be examined. The thesis will also cover a detailed survey
of the sectors with high electricity consumption and an analysis on the
sensitivity of the product to electricity prices in these sectors. The thesis will
also include an analysis on the dependency of employment/unemployment to
electricity prices in these sectors.

32. Transmission System Security and Related Secondary Legislation

The main objective of this thesis is to review the concept of transmission
system reliability/security and examine the conformity of the legislation
recently issued by EMRA on the Transmission System Supply Reliability to the
general principles of system reliability/security. The thesis will include an
analysis of the n-1 and n-2 contingency conditions in terms of the investment
required to satisfy. The thesis will also cover an analysis of the revenue loss of
the participants due to a failure in the reliability/security level of the
transmission system. The thesis will conclude with suggestions on the level of
transmission system security/reliability to be established in order to satisfy the
needs of participants.

33. Abuse of Dominant Position, Monopoly and Cross-Monopoly in

Electricity Markets
The main task of this thesis is to investigate the possibility of abusing
dominant position, monopoly, cross-monopoly in the Turkish wholesale and
retail markets. The thesis will first study the concept of dominant position,
monopoly, cross-monopoly, and then study the effectiveness of the measures
taken in the primary and secondary legislations against these type of actions.
The thesis will end with suggestions on the legislations.

34. Demand Shaping and Wholesale Trading for Renewable Plants

Principles of generation demand shaping for renewable plants. Problems
associated with generation of renewables. Generation characteristics for wind
and river plants. Estimation of investment inefficiency due to irregularity of the
generation characteristics. Capacity trading and cost involved. Bilateral and
multilateral agreements for renewable plants. Feasibility analysis of pump
storage or small

35. An Examination of the Legislative Framework for the Compensation of

the Renewable Tariffs
Legislative framework for the compensation of the renewable tariffs in Europe,
USA and other developed countries. Social and economical impacts of energy
resources other than renewables to environment. Recovery and restorational
costs of these energy sources. Comparison of recovery and restorational costs
with costs related to compensation. Techniques for compensation; Reduction
in transmission and distribution system usage and operation tariffs, take or pay
obligations to be imposed on retailers and wholesalers, tax reductions, green
certificates, reliving the responsibility of balancing and settlement task and
 others. Assessment of applicability of these compensation techniques. A
critical review of the draft of the new Renewables Law in terms of the
applicability of the compensation techniques included.

36. Capacity Trading for Renewable Plants

In this thesis, capacity trading agreements to back-up renewable plants by a
wholesale company with a reliable standby capacity will be studied. The study
will include; risk analysis and production reliability of renewable plants, such
as wind and river, development of a tariff structure for the capacity charge of
the standby plant based on this risk analysis, the transmission and distribution
system usage and operation charges, an ownership model for the standby
plant by a consortium participated by the renewable companies.

37. Illicit Electricity Utilization

In this thesis, the social, cultural and economic reasons for illicit electricity
utilization will be studied. Techniques for illicit electricity utilization, remedies
and their effectiveness will be studied. Variation of illicit electricity utilization
with respect to types of customers, voltage level and social groups will also be
analyzed. Finally computer techniques to follow, track and detect illicit electric
utilization will be studied. Support will be demanded for this thesis from
TEDAS (The General Directorate of the Turkish Electricity Distribution
Company)