Case Study Detail
Language: English

XM COMPAÑIA DE EXPERTOS EN MERDADOS SA ESP: XM keeps the power on with IBM ILOG optimization software

 XM Compañía de Expertos en Mercados S.A. E.S.P. (XM)
Distribution Optimization Energy & Power Cost Savings

XM Compañía de Expertos en Mercados S.A. E.S.P. (XM) ( operates the Colombian National Interconnected System and also administers the Wholesale Energy Market—MEM—that in 2009 recorded transactions worth more than 6 million USD. XM coordinates, supervises and controls the power system to ensure safe, reliable and economic operation. XM takes bids from the generators, demand forecasts from the distribution companies and clears the market, deciding which bids to accept from the power plants in order to satisfy the needs of the distribution companies.

Business need:
The Colombian electricity sector needs to match the supply to the demands of the distribution companies for the following day. The primary objective is to minimize the total cost of generation.

XM uses IBM® ILOG® optimization software to determine the most efficient, low-cost and reliable operation of the Colombian power system

Lowest cost solution to supplying the demands of the Colombian power market; Near 100% matching of supply to demand in a timely fashion; Flexible solution enables new rules to be easily entered into calculations; Conservation of hydroelectric power

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