Application of the Shapley Value on Energy and Power Allocation in a Deficit Power Environment

Although India is developing at an unprecedented rate, the country is facing an energy crisis where out of 1.34 billion populations 300 million people live without electricity. Another 250 million experiences intermittent power supplies for a shorter duration of 3 to 4 hours a day. The per capita power consumption is comparatively low when compared to other developing countries. The country is facing shortages in both the degrees of energy and peak availability. As per the statistics from Central Electricity Authority of India, for the year 2015 – 2016 the overall energy deficit is 2.1% and the overall peak deficit is around 3.2%, which is accounted by the variations in energy and power from various demographic regions. This paper makes use of Shapley value concept in balancing the deficit of energy and power with respect to all the regions. Visual Studio an IDE environment is a tool used for the simulation purpose and the results prove the truthfulness of Shapley value concept that can be implemented in the future Indian electric grid to balance the deficits among various regions if the demographic regions have the capacity of utilization.