Joint Energy and Reactive Power Market Considering Coupled Active and Reactive Reserve Market Ensuring System Security

Reactive power market is usually held as independent from energy and reserved active power markets; however, active and reactive power are in close relation due to a variety of mediums such as load flow equations, current limitations on the network lines, and synchronous generator capacity curve. Therefore, reactive power market conditions can affect active and reactive power markets. A new structure for joint energy and reactive power market (JERPM) is proposed in this article to resolve the difficulties pertaining interactions between active and reactive power markets. Holding a new market called joint active and reactive power reserved market (JARPRM) is proposed afterwards. Some revisions have been made in lost opportunity cost calculations in JERPM, and availability cost payment is also omitted from the model here. The objective function of JARPRM market is to minimize the costs of simultaneous active and reactive power production, and the costs of energy not supplied. This market is run using voltage stability constraints for all possible contingency incidents. The level of reserved power required by the system is determined accordingly. The proposed market model is simulated on a 24-bus IEEE-RTS network and the results are compared to traditional independent markets.