CHALLENGES OF POWER SYSTEM PLANNING,OPERATION AND CONTROL IN DEREGULATED

Power industry restructuring and hence establishment of electricity markets lead to significant challenges to power system planning, operation and control. Many experiences have been gained and lessons learnt from operation of existing power markets. However in the new market environment, some old power system planning, operation and control issues become much more difficult to solve and new problems arise, and up to now quite a lot of problems still remain unsolved. In this paper challenges of marketbased operation of power systems are discussed including: market structure de sign, IT system requirement, congestion management, ancillary service provision, market power in electricity markets, strategic bidding for generation neration and network expansion in the market environment. The objective of this paper is to stimulate further discussions and investigations rather than to solve these problems