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Unified optimization of generation and demand side reserves

Rational allocation of operating reserve capacity (RC) is one of the key issues to integrate large scale intermittent renewable energy sources (RES) into the grid, and it is increasingly important to make full use of RC of generation side (RCGS) and RC of demand side (RCDS). This paper analyzes the difference of economic characteristics and constraints between RCGS and RCDS, and then proposes a cost-performance ratio (CPR) index defined for all types of RC, which considers all parts of the cost and the effective power generation provided by a specific reserve object (RO) under the target scenario. By using the proposed CPR index, a unified sorting method for selecting the RO from both generation and demand side is proposed, which realizes the unified optimization directly and avoids the tremendous computation time caused by the iterative optimization process between these two sides. Finally, simulation results show the validity and effectiveness of the proposed method.