Development of the Demand Response Programs in Smart Grids with Determination of the Ancillary Services Price for Demand-side

Considering the importance of the ancillary services price for supply and demand sides of the power markets, which helps with developing the mutual communication between supply and demand sides, determination of the ranges of the price of the ancillary services is necessary. On the other hand, developing demand-side management programs are important challenges faced by restructured power network. Considering these concepts, a new power market-based method to obtain the prices of the ancillary services particularly in case of the reactive power is presented in this paper. The proposed method helps with developing the demand-side programs. The proposed market-based method is developed with new power market clearing constraints. Also, the smart metering and monitoring equipment required to implementation of the proposed method in the power network are determined to better carry out the application of the proposed method in the restructured power network. The proposed method is tested on 24-bus IEEE RTS to determine the reactive power price for demand-side and the problem is solved by a genetic algorithm.