Power system modeling for multi-area regulating market simulation

In a power system with many fast and/or large changes in the generation or the consumption, for example in a system with large amounts of wind power, the frequency control is more complicated to handle efficiently. Minimizing regulation costs for the system operator in such a system requires the possibility to simulate the frequency control, but the existing methods for calculations are neither efficient enough with respect to computation time nor accurate enough. This paper shows how the frequency control can be optimized, thereby reducing the regulation costs, using a multi-area model combined with a DC load flow. The multi-area modeling is described and the optimization is applied to a numerical example.