Renewable energy sources as a new participant in ancillary service markets

In a liberalized electricity market, an important and major task of System Operator (SO) is to support the transactions of power and to match required demand-supply balance. To maintain this balance, Ancillary Services (AS) are required that ensures transmission of power while maintaining reliable operation and ensuring the required degree of quality and safety. Presently, Renewable Energy Sources (RES) have become extremely attractive worldwide due to their significant ability to participate in electricity markets. The main objective of the study is to critically analyze the prospect of RES in energy and AS markets. This study concludes that still modifications in market designs and rules are required in current electricity market to integrate energy, AS and variable energy sources. (C) 2017 Elsevier Ltd. All rights reserved.