Well-being analysis of spinning reserve in a bilateral power market

In a deregulated power system customers have the freedom to choose their reliability. They can purchase spinning reserve directly from electric power providers. In this case, an individual customer is concerned more with its own load point reliability rather than with the system reliability. This paper introduces bulk load point (BLP) well-being indices for supply customers, with the primary objective of determining their spinning reserve based on desired reliability levels in a bilateral market model. The system well-being model used in conventional power systems is extended to the load point model in a restructured power system. The impacts of spinning reserve purchase on these indices were investigated and are reported in the paper. A reliability test system is used to illustrate how customers can determine their spinning reserve in the deregulated environment. [Copyright &y& Elsevier]