Operating reserves impose a cost on the electric power system by forcing system operators to keep partially loaded spinning generators available to respond to system contingencies and random variation in demand. Demand response and energy storage, may ...
June 4, 2015
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Operating reserves impose a cost on the electric power system by forcing system operators to keep partially loaded spinning generators available to respond to system contingencies and random variation in demand. Demand response and energy storage, may provide these services at lower cost to conventional generators. However, to estimate the potential value of these services, the cost of reserve services under various grid conditions must first be established. This analysis used a commercial grid simulation tool to evaluate the cost and price of several operating reserve services. These reserve products were evaluated in a utility system in the western United States, considering different system characteristics, renewable energy penetration, and several other sensitivities.