Here are the LMP calculations for each bus. The sensitivity factors reflect the amount of cost effective generation required to supply 1 MW of load at each bus, without increasing the flow on the contingency.
Simplified calculation is for each bus:
determine contribution each marginal unit provides to supply 1 MW at the bus
calculate price to serve the portion of 1 MW (portion of 1 MW times the price of the unit)
add contributions to get bus LMP
Serving 1 additional MW of load at Bus A is accomplished by raising the Park City unit by 1.0 MW. Sundance doesn’t move at all to serve 1 MW of load at this bus. Remember, Park City is located at Bus A, so it makes sense for it to serve the entire 1 MW. The resulting LMP is equal to $15.00.
Serving 1 additional MW of load at Bus B is accomplished by raising Park City 0.59 MW and raising Sundance 0.41 MW. The resulting LMP is $21.14.
Serving 1 additional MW of load at Bus C is accomplished by raising Park City 0.43 MW and raising Sundance .57 MW. The resulting LMP is $23.51.
Serving 1 additional MW of load at Bus D is accomplished by raising Sundance 1 MW. The resulting LMP is $30. (Again, you can see that the load at Bus D is can be served by the Sundance unit, which is also located at Bus D.
Serving 1 additional MW of load at Bus B is accomplished by raising Park City 1.30 MW and decreasing Sundance by 0.30 MW. The resulting LMP is $10.44.
