Rahim Mohammadi - Electrical Distribution Company of Great Tehran - Iran
Habib Rajabi Mashhadi - Ferdowsi University of Mashhad - Iran

This paper presents a new competitive approach to provide reliability of distribution system customers. The model is based on Cournot game and utilizes Nash equilibrium concept to find the output of the problem. Reliability in the proposed framework is an ancillary service and the customers participated in the program must pay for reliability provision. The proposed model also considers regulatory concerns of reliability insuring average reliability of the system is not incurred. The model is investigated on a sample case study and the results show how customer would behave if they are participated in the reliability improvement program of distribution systems. Our results also show that there would exist a high motivation for both parties (utility and customers) to implement the proposed model for reliability enhancement of distribution system.