Abstract
In this paper, a new method for calculating the penalty factors of all generators including the slack bus is presented. A simple transposition of the angle reference, from the conventional slack bus to another bus where no generation exists, enables the derivation of the loss sensitivity of the slack bus. Penalty factors are obtained without any physical assumption through a simple substitution of the bus loss sensitivities. Penalty factors calculated by proposed method are not dependent on reference bus and can also be directly substituted into the general ELD equation for computing the optimal dispatch. Equations for loss sensitivities, Penalty factors and ELD are calculated simultaneously in normal power flow computation. A case study on a test system has proved the effectiveness of the proposed' angle reference transposition' method.