No abstract

This paper proposes a new techno-economic framework for the optimisation of Microgrid (MG) operation considering energy and reserve services, as well as a novel distribution network reliability service. The price signals required to incentivise reliability services are formulated based on the potential of MGs to improve reliability levels. This potential is quantified based on sequential Monte Carlo simulations and economic values assigned to reliability according to existing UK regulation. The results, based on pragmatic MG data and a real distribution network, highlight strong synergies between reliability services, and energy and reserve services. These synergies allow MGs to provide distribution network reliability support without significantly changing their normal behaviour or compromising their capabilities to provide other services.