Does frequency regulation play a role in energy storage commercialization?

Frequency regulation has played a large role in energy storage commercialization, and will continue to play a role. But how large a role depends on changes to the design of PJM’s frequency regulation market. PJM embarked on these changes in an effort to correct observed problems in the market.

What has changed in PJM's frequency regulation market?

Starting in 2015, PJM embarked on a series of changes to its frequency regulation market to correct for observed issues, and more changes are being proposed. Changes implemented to date have resulted in reduced growth rates of energy storage resources in the PJM footprint.

What is the proposed frequency regulation market?

The proposed market is simulated and compared with traditional regulation market. The importance of the performance of frequency regulation has already been acknowledged by regulators and Independent System Operators (ISOs).

What is a performance-based frequency regulation market?

A performance-based frequency regulation market is proposed. Market clearing prices for regulation services are derived and decomposed. The AGC allocation method is adjusted by considering market clearing results. The proposed market is simulated and compared with traditional regulation market.

Which energy storage technologies are ideal regulation resources?

Emerging energy storage technologies, such as battery and flywheel energy storage, are ideal regulation resources due to their fast responding capability and accurate controllability , . Therefore, it is necessary for the system operator to provide incentives to encourage these fast resources to participate in the regulation market.

What is frequency regulation service?

Introduction Frequency regulation service plays an important role in power system operation for its real-time balancing of electricity supply and demand. In a deregulated system, frequency regulations are procured through ancillary service markets .