Journal article
Attribution mechanisms for ancillary service costs induced by variability in power delivery
Department of Electrical Engineering, Technical University of Denmark1
Inria2
Swiss Federal Institute of Technology Lausanne3
Center for Electric Power and Energy, Centers, Technical University of Denmark4
Energy Analytics and Markets, Center for Electric Power and Energy, Centers, Technical University of Denmark5
Cisco Systems6
CITIES - Centre for IT-Intelligent Energy Systems, Centers, Technical University of Denmark7
The increased penetration of renewable energy sources in existing power systems has led to necessary developments in electricity market mechanisms. Most importantly, renewable energy generation is increasingly made accountable for deviations between scheduled and actual energy generation. However, there is no mechanism to enforce accountability for the additional costs induced by power fluctuations.
These costs are socialized and eventually supported by electricity customers. We propose some metrics for assessing the contribution of all market participants to power regulation needs, as well as an attribution mechanism for fairly redistributing related power regulation costs. We discuss the effect of various metrics used by the attribution mechanisms, and we illustrate, in a game-theoretical framework, their consequences on the strategic behavior of market participants.
We also illustrate, by using the case of Western Denmark, how these mechanisms may affect revenues and the various market participants.
| Language: | English |
|---|---|
| Publisher: | IEEE |
| Year: | 2017 |
| Pages: | 1891-1901 |
| ISSN: | 08858950 and 15580679 |
| Types: | Journal article |
| DOI: | 10.1109/TPWRS.2016.2598760 |
| ORCIDs: | Pinson, Pierre |
Ancillary services Attribution mechanisms Electricity markets Power fluctuations SDG 7 - Affordable and Clean Energy
Electricity supply industry Electronic mail Generators Measurement Power systems Production Renewable energy sources Western Denmark ancillary service costs attribution mechanisms costing electricity market mechanisms electricity markets energy generation game-theoretical framework power delivery power fluctuations power markets power regulation costs power systems renewable energy sources
