Real-time energy balancing with OOS/OOM/RMR reliability requirements for a zonal electricity market

This paper presents a new formulation to model a real-time energy balancing market with the local/system reliability requirements. The proposed methodology enables an independent system operator (ISO) to perform real-time balancing by issuing both market instructions and out-of-market instructions to ensure the system reliability in an integrated optimization based framework. The discussion in this paper is in compliance with California ISO´s market rules and procedures and the concepts are applicable to other realtime electricity markets.