Dear Ray,
When I run optimal power flow for a 6-bus system using MATPOWER 5.1, this
is the result which I obtain.
1. Here, I observe that Lambda values of Q is negative. What does this
signify?
 I understand positive value of lambda means the generator gets paid for
supplying reactive power. On the other hand, what happens when a generator
consumes reactive power from the system?
2. At bus 2, the generator supplies Q and at bus 3 the generator consumes Q
but in both cases the lambda is negative.I dont clearly understand what
signal lambda is giving. Please clarify my doubt.
-----------------------------------------------------------------------
MATPOWER Version 5.1, 20-Mar-2015 -- AC Optimal Power Flow
MATLAB Interior Point Solver -- MIPS, Version 1.2, 20-Mar-2015
 (using built-in linear solver)
Converged!

Converged in 0.10 seconds
Objective Function Value = 2454.85 $/hr
================================================================================
|     System Summary
    |
================================================================================

How many?                How much?              P (MW)            Q (MVAr)
---------------------    -------------------  -------------
 -----------------
Buses              6     Total Gen Capacity     530.0        -300.0 to 420.0
Generators         3     On-line Capacity       530.0        -300.0 to 420.0
Committed Gens     3     Generation (actual)    159.3              28.5
Loads              6     Load                   158.0              82.8
  Fixed            6       Fixed                158.0              82.8
  Dispatchable     0       Dispatchable          -0.0 of -0.0      -0.0
Shunts             0     Shunt (inj)             -0.0               0.0
Branches          11     Losses (I^2 * Z)         1.29              3.90
Transformers       0     Branch Charging (inj)     -               58.2
Inter-ties         0     Total Inter-tie Flow     0.0               0.0
Areas              1

                          Minimum                      Maximum
                 -------------------------  --------------------------------
Voltage Magnitude   1.044 p.u. @ bus 4          1.070 p.u. @ bus 2

Voltage Angle      -2.31 deg   @ bus 6          0.00 deg   @ bus 1
P Losses (I^2*R)             -                  0.39 MW    @ line 2-4
Q Losses (I^2*X)             -                  0.77 MVAr  @ line 2-4
Lambda P           11.45 $/MWh @ bus 2         11.70 $/MWh @ bus 5
Lambda Q           -0.06 $/MWh @ bus 2          0.10 $/MWh @ bus 4

================================================================================
|     Bus Data
    |
================================================================================
 Bus      Voltage          Generation             Load
 Lambda($/MVA-hr)
  #   Mag(pu) Ang(deg)   P (MW)   Q (MVAr)   P (MW)   Q (MVAr)     P
 Q
----- ------- --------  --------  --------  --------  --------  -------
 -------
    1  1.067    0.000*    50.00      9.35     16.00     10.00    11.450
 -0.003
    2  1.070   -0.533     62.76     19.61      8.00      4.80    11.449
 -0.064
    3  1.063   -0.883     46.53     -0.45     12.00      4.00    11.522
 -0.028
    4  1.044   -1.469       -         -            40.00     32.00
 11.676   0.097
    5  1.051   -2.049       -         -            34.00     20.00
 11.698   0.010
    6  1.053   -2.306       -         -            48.00     12.00
 11.674  -0.012
                        --------  --------  --------  --------
               Total:    159.29     28.51    158.00     82.80

================================================================================
|     Branch Data
   |
================================================================================
Brnch   From   To    From Bus Injection   To Bus Injection     Loss (I^2 *
Z)
  #     Bus    Bus    P (MW)   Q (MVAr)   P (MW)   Q (MVAr)   P (MW)   Q
(MVAr)
-----  -----  -----  --------  --------  --------  --------  --------
 --------
   1      1      2      3.65     -5.60     -3.63      1.08     0.021
 0.04
   2      1      4     16.37      6.06    -16.22     -9.92     0.148
 0.59
   3      1      5     13.98     -1.11    -13.84     -5.09     0.141
 0.53
   4      2      3      3.28     -0.95     -3.27     -5.84     0.007
 0.04
   5      2      4     25.70     13.76    -25.31    -15.22     0.385
 0.77
   6      2      5     11.01      1.00    -10.90     -5.15     0.115
 0.35
   7      2      6     18.41     -0.08    -18.20     -4.95     0.212
 0.61
   8      3      5      9.08     -2.09     -8.99     -3.30     0.088
 0.19
   9      3      6     28.72      3.49    -28.57     -4.97     0.150
 0.75
  10      4      5      1.53     -6.85     -1.52     -1.90     0.016
 0.03
  11      5      6      1.24     -4.56     -1.24     -2.07     0.003
 0.01
                                                             --------
 --------
                                                    Total:     1.287
 3.90

================================================================================
|     Voltage Constraints
   |
================================================================================
Bus #  Vmin mu    Vmin    |V|   Vmax    Vmax mu
-----  --------   -----  -----  -----   --------
    2      -      0.950  1.070  1.070    28.097

================================================================================
|     Generation Constraints
    |
================================================================================
 Gen   Bus                  Active Power Limits
  #     #     Pmin mu     Pmin       Pg       Pmax    Pmax mu
----  -----   -------   --------  --------  --------  -------
   1     1      0.752     50.00     50.00    200.00      -

case1offpeak =

    version: '2'
    baseMVA: 100
        bus: [6x17 double]
        gen: [3x25 double]
     branch: [11x21 double]
    gencost: [6x7 double]
      order: [1x1 struct]
         om: [1x1 opf_model]
          x: [18x1 double]
         mu: [1x1 struct]
          f: 2.4549e+03
        var: [1x1 struct]
        nln: [1x1 struct]
         et: 0.0970
    success: 1
        raw: [1x1 struct]

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