Advanced Search
MyIDEAS: Login to save this article or follow this journal

Ancillary services in systems with high penetrations of renewable energy sources, the case of ramping


Author Info

  • Lamadrid, Alberto J.
  • Mount, Tim


Renewable Energy Sources (RES) are likely to continue the upward trend observed in the past decade. The change from dispatchable generation to an environment in which Independent System Operators (ISOs), Regional Transmission Operators (RTOs), Load Serving Entities (LSEs) and consumers dynamically respond to the conditions in the system and help to alleviate the uncertainty linked to RES requires appropriate tools to evaluate the social benefits and costs of different policies implemented. This paper presents a framework for evaluating the aforementioned effects using an engineering and economic optimization model. The proposed framework is applied to a stylized case study with operations on a test network that simulates a typical day. The objective of the case study is to compare the effects of (1) controllable demand, (2) on-site storage, and (3) upgrading transmission capacity. The different scenarios are evaluated in terms of (1) the percentage of potential wind generation spilled, (2) the total operating cost of production, and (3) the amount of installed capacity needed to maintain operating reliability. The results show that controllable demand improves (reduces) all of the three criteria by alleviating congestion and mitigating wind variability. In contrast, the beneficial effects are smaller for RES's on-site storage, because it does not shift load to off-peak periods or reduce congestion, and for upgrading transmission, because it does not shift load to off-peak periods or mitigate wind variability.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL:
Download Restriction: Full text for ScienceDirect subscribers only

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Bibliographic Info

Article provided by Elsevier in its journal Energy Economics.

Volume (Year): 34 (2012)
Issue (Month): 6 ()
Pages: 1959-1971

as in new window
Handle: RePEc:eee:eneeco:v:34:y:2012:i:6:p:1959-1971

Contact details of provider:
Web page:

Related research

Keywords: Electricity markets; Ancillary services; Ramping costs; Co-optimization;

Find related papers by JEL classification:


References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Zephyr, 2010. "The city," City, Taylor & Francis Journals, vol. 14(1-2), pages 154-155, February.
  2. Michael Maloney, 2001. "Economies and Diseconomies: Estimating Electricity Cost Functions," Review of Industrial Organization, Springer, vol. 19(2), pages 165-180, September.
  3. Lamadrid, Alberto J. & Mount, Timothy D. & Thomas, Robert J., 2011. "Integration of Stochastic Power Generation, Geographical Averaging and Load Response," Working Papers 126540, Cornell University, Department of Applied Economics and Management.
  4. Frank A. Wolak, 2007. "Quantifying the supply-side benefits from forward contracting in wholesale electricity markets," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 22(7), pages 1179-1209.
  5. Timothy D. Mount, Surin Maneevitjit, Alberto J. Lamadrid, Ray D. Zimmerman, and Robert J. Thomas, 2012. "The Hidden System Costs of Wind Generation in a Deregulated Electricity Market," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1).
Full references (including those not matched with items on IDEAS)



This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.


Access and download statistics


When requesting a correction, please mention this item's handle: RePEc:eee:eneeco:v:34:y:2012:i:6:p:1959-1971. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.