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Design of Local Services Markets for Pricing DSO-TSO Procurement Coordination

Pastor, AV; Nieto-Martin, J; Bunn, DW; Varga, L; (2018) Design of Local Services Markets for Pricing DSO-TSO Procurement Coordination. In: (Proceedings) 2018 IEEE Power & Energy Society General Meeting (PESGM). IEEE Green open access

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Abstract

The growing presence of Distributed Energy Resources (DERs) has opened the debate around their possibilities for participation in the system operations. On one hand, Transmission System Operators (TSOs) could leverage DERs capabilities to provide ancillary services such as voltage support, frequency response, or reserves deployment. On the other hand, Distribution System Operators (DSOs) could use DER services to avoid congestion in distribution networks and defer reinforcement costs. This study discusses the paradigm of DSOs having priority in the provision of services over the TSO in a local services market. When a DSO procures services in a local market close to real time, coordination issues with TSO can be expected. This paper assesses the conflict cost of two possible market schemes: in the first one only TSO can access DER flexibility, whereas in the second case DSOs lead the TSOs in the procurement of DER flexibility. A novel set of metrics based of conflict pricing has been defined and evaluated in area in the UK, where a significant increase of distributed generation is planned.

Type: Proceedings paper
Title: Design of Local Services Markets for Pricing DSO-TSO Procurement Coordination
Event: 2018 IEEE Power & Energy Society General Meeting (PESGM)
ISBN-13: 9781538677032
Open access status: An open access version is available from UCL Discovery
DOI: 10.1109/PESGM.2018.8586517
Publisher version: https://doi.org/10.1109/PESGM.2018.8586517
Language: English
Additional information: This version is the author accepted manuscript. For information on re-use, please refer to the publisher’s terms and conditions.
UCL classification: UCL
UCL > Provost and Vice Provost Offices
UCL > Provost and Vice Provost Offices > UCL BEAMS
UCL > Provost and Vice Provost Offices > UCL BEAMS > Faculty of Engineering Science
UCL > Provost and Vice Provost Offices > UCL BEAMS > Faculty of Engineering Science > Dept of Civil, Environ and Geomatic Eng
URI: https://discovery.ucl.ac.uk/id/eprint/10068854
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