Multi-Period Probabilistic Production Cost Model Including Dispatch Constraints

This paper presents a multi-period probabilistic production cost model. Dispatch intra-period and inter-period constraints are considered through the use of a facet LP formulation. An efficient solution procedure based on the Dantzig--Wolfe decomposition technique is developed. The work reported in this paper extends previous work in two respects: (i) inter-period constraints are rigurously treated, and (ii) a systematic general solution procedure is developed. Results for a large-scale case study are presented. Index Terms--Multi-period probabilistic production costing, dispatch constraints, facet LP, Dantzig--Wolfe decomposition.