ANALYSIS OF DEREGULATED ELECTRIC POWER SECTOR AND EMERGING ANCILLARY SERVICES IN NIGERIA

Abstract

Ancillary services on the interconnected grid are necessary support for power transmission while maintaining reliable operation and to ensure exact level of quality and safety. So many activities of the operator are classified under the preview of ancillary services and the correct meaning and explanation of some of these services and distinctions are given enough clarity. The basic three ancillary services with importance that are provided by the independent power producers in a deregulated power set up are; (i) system voltage profile maintenance in an adequate range, (ii) keeping system frequency within economically related value and (iii) maintaining the system security with required spinning reserve. An overview of how reactive power, spinning reserves and frequency regulation services are managed by the system operator in a deregulated electricity markets in Nigeria is presented. Economic models are proposed for participants in reactive power, spinning reserve and frequency regulation service markets. With the optimal procurement of the ancillary services by the independent power producers in consideration, this work attempt to obtain a beneficial plan for the power system, from both technical and economical views and prospects. Keywords: deregulation, electricity market, ancillary services, reactive power, frequency regulation, reforms DOI: 10.7176/IEL/13-1-05 Publication date: March 28 th 2023