Using market schedules to improve secondary control design

Trends in the power system´s development, such as increased demand response or penetration of renewable energy, indicate that in the future, power system will experience significant daily changes in their physical properties. Time frames of energy economics and physical processes start to overlap. These changes require proper secondary controller tuning, for which high-quality up-to-date models are needed. The main contribution of this paper, we utilize the information on the energy market outcome, which is known in advance, to identify the dynamics of a control area relevant for the secondary control (SC) design/tuning. By rethinking the interconnected power systems in the system identification framework, and exploiting the developed theory, a consistent model of a control area is obtained within a few hours. This is sufficient to follow the daily changes in the system dynamics. It is expected that a controller based on a better model adapts to the daily changes in power system dynamics, and moreover, is capable of improving the system performance. Several illustrative examples confirm that the use of market based signals in the identification process is an important step that helps getting accurate models.