The main purpose of this paper is to study the effect of responsive electrical loads on gas and electricity networks expansion planning problem. A centralized approach performs the expansion planning of the integrated gas and electricity networks. An incentive-based demand response (DR) is incorporated so that electricity network operator pays the consumers for participating in DR program. In this planning model for an integrated gas-electricity network, both supply and demand sides are matched together to guarantee the adequacy of fuel for gas consuming units (GCU). To illustrate the effectiveness of the proposed method Khorasan province of Iran is considered as a case study which has a high penetration level of GCUs.

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