Market Mechanism Of Ancillary Service In China Under The Background Of New Round Electricity System Reform

The State Council of the CPC Central Committee formally issued the "Opinions on Further Deepening the Reform of the Electric Power System"(Zhong Fa[2015]No.9)in March,2015,which clearly put forward the need to establish a new sharing mechanism for ancillary service.It is imperative for the construction of ancillary service market and the improvement of ancillary service compensation mechanism,which have become an urgent need to promote the electricity system reform.Studying the corresponding ancillary service market mechanism and compensation standard can provide reference for the government to formulate scientific policies and provide support for favorable policies for the sustainable development of power system.It is of great significance for the safe and stable operation of the power grid,the optimized allocation of resources,the healthy and sustainable development of the electricity market,the improvement of electricity price management and the enthusiasm of participating members in the ancillary service market,the promotion of renewable energy consumption and the realization of energy conservation and emission reduction.Firstly,this paper introduces the basic theoretical knowledge of ancillary service definition,product types and function,and then analyzes the product types and trading modes of the ancillary service market in UK,PJM,Australia and Northern Europe,and concludes what we can learn from the development of the ancillary service market.Secondly,the market demand of ancillary service products such as frequency control,reserve,voltage control and black start is analyzed.According to the actual situation of China's ancillary service market and the development experience of the typical ancillary service market in foreign countries,the product system of ancillary service in different stages of market development has been designed.Then,it analyzes the subject of the ancillary service market in China and designs three kinds of market bidding methods for ancillary service products.One is to sort only for unit capacity price of each generator set.Another is to sort for the sum of unit capacity price and electricity price of each generator set.And unit comprehensive performance index is introduced to adjust the price.The last one is to sort for the combination of unit capacity price and electricity price of each generator set accounting for capacity price and electricity price of the ancillary service provider and the probability of being called in the real-time market by introducing a probabilistic factor.And the empirical analysis respectively compares the economy of the two settlement methods of MCP and PAB under the three kinds of bidding methods.Finally,this paper establishes a comprehensive evaluation index system that includes technical indicators,market indicators,risk indicators and efficiency indicators.Based on the comprehensive evaluation model,a comprehensive evaluation of market mechanism for ancillary service such as frequency control,reserve,and peak shaving is carried out to verify that they have a certain degree of superiority and feasibility.