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Operating reserves and bulk-power reliability

Author

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  • Hirst, Eric
  • Kirby, Brendan

Abstract

Operating reserves are the front lines in the defense of electric systems against major generation and transmission outages. Operating reserves are provided by generating units that can increase their output rapidly to restore the system to generation/load balance after a major disturbance occurs. We examine the functions of and the requirements for operating reserves, and the data and analysis that support minimum-operating-reserve requirements. We obtained data on the number and severity of generator outages for three large US electrical systems, including a power pool, a regional reliability council, and a utility. These data show a range of 15 to 40 major (>500MW) outages a year for systems ranging in size from 20 000 to 48 000MW of peak demand. Finally, we discuss several emerging issues related to the underlying technical support for minimum reserve requirements, alternative ways to pay for these reserves, the data needed to support the analysis of these requirements, and the mix of functions that are currently included within operating reserves.

Suggested Citation

  • Hirst, Eric & Kirby, Brendan, 1998. "Operating reserves and bulk-power reliability," Energy, Elsevier, vol. 23(11), pages 949-959.
    • Handle: RePEc:eee:energy:v:23:y:1998:i:11:p:949-959
    DOI: 10.1016/S0360-5442(98)00036-X
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    Cited by:

    1. LaCommare, Kristina Hamachi & Eto, Joseph H., 2006. "Cost of power interruptions to electricity consumers in the United States (US)," Energy, Elsevier, vol. 31(12), pages 1845-1855.
    2. Scholtens, Bert & Wagenaar, Robert, 2011. "Revisions of international firms’ energy reserves and the reaction of the stock market," Energy, Elsevier, vol. 36(5), pages 3541-3546.
    3. Peter Cramton, 2000. "Review of the Reserves and Operable Capability Markets: New England's Experience in the First Four Months," Papers of Peter Cramton 99reserves, University of Maryland, Department of Economics - Peter Cramton, revised 03 Jan 2000.
    4. Peter Cramton & Jeffrey Lien, 2000. "Eliminating the Flaws in New England's Reserve Markets," Papers of Peter Cramton 00flaws, University of Maryland, Department of Economics - Peter Cramton, revised 11 Mar 2000.

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