Energy and ancillary service dispatch for the interim ISO New England Electricity Market

Since the Federal Energy Regulatory Commission's (FERC) order no, 888 has m andated the establishment of unbundled electricity markets in the newly der egulated environment, competitive bidding of ancillary services, along with bidding of energy; becomes increasingly important. In this paper, an optim ization-based framework for solving a multi-commodity electricity market di spatch problem is presented. fn compliance with New England Power Pool (NEP OOL) Market Rules and Procedures, a hybrid dispatch method which combines t he sequential dispatch method with the joint dispatch method is proposed to solve the energy and ancillary dispatch problem for ISO New England (ISO-N E). Numerical results on a 6-unit test system and the 324-unit ISO-ME syste m are included.