Ancillary Service And Its Bidding Model Study In Electrical Market

Electric power industry has been monopolistic traditional field since long time ago, and any electric power industry all over the world operates based on vertical and incorporate market structure, which includes generating, transmitting, distributing and selling. Since 1980s, electric power industry has formed a worldwide electric power industry reform tide in different country and region. The natural monopoly opinion of electric power industry worldwide is challenged by electric power industry reform practice in developed countries such as England and America, many countries have restructured their own electric power industries, and established their own electric power markets. The power industry in China is now under the way of restructuring and generation markets areexpected to establish. As a result, competition has been introduced in generation sector through bid-based operation. The Ancillary Service (AS) is an important part of the power market. It is vital to the safety, stability and efficiency of power system. Studying AS and bidding bargaining model is an important problem. So the study of this paper is feasible and necessary.This paper based on the analysis constitutes and its basic fundamental of electricity market sums up the mostly types and the bargaining model of electricity market and summarizes the history evolution of our country electric power reform. This article analyses and summarizes experiences and lessons of several countries that have successfully carried out market reform, and offers the valuable information for our country's electric power reform. Then, the paper establishes mathematic model of the ancillary' service and explains every ancillary service's sort and function. The ancillary service is always the guarantee for power supply and transmission system security, however it is endued the new content in the electricityenvironment. The obtainment and the pricing of the ancillary service have become a major concern. So the paper researches the obtainment and pricing of the overseas ancillary service, and educes the method of our country obtainment and pricing of ancillary service at the beginning of the power market.Because the ancillary service is commodities, their usage must be paid by essential economy compensation. In the meantime, the cost and the pricing of the ancillary service, the benefit of companies, optimization of the whole power system must be considered in designing compensation mode. So, the paper discusses the pricing mechanism and the cost callback mechanism of the ancillary service and analyses home the bidding mode of the AGC and reserve ancillary service and educes the market demand calculation model and market closeout model. Considering of the power and the ancillary service are two main commodities of power market, the paper present an integrative bidding model that it considers multi-AS consist of power and AGC and spinning reserve etc. Its target function makes expensesminimum and use net-flow programming method to educe model. At last, through fact example, the model can deal with multi restriction condition and distribute limited resource from whole system. Further more, it can effective reduce stock-fare, at the same time, complete service competitive price.In many countries, the emphasis on the reform is to unbundled ancillary services from energy. Power and the ancillary services form self-governed market processing bid and bargaining. So, the paper present carefully AS market acting mechanism and market organize flow and market optimizes collocating. Comparing to order method, the paper educes a new method of the market bid and bargaining that it can reduce the ancillary service general cost. The paper presents a four-phases dynamic programming model. Though a fact example, the method change formerly market demand. It allows to all kinds of the ancillary service substitute and makes general cost least. The paper uses computer language programmed software and the result shows that itscalculation speed and outcome can satisfy fact demand when bid number and price less.