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The development of a multi-terminal (MT) high voltage DC (HVDC) grid based on voltage source converter (VSC) technology has been envisaged as a key development for harnessing the vast offshore wind production potential of the North Seas. In this paper, market integration of a centrally dispatched MT HVDC Grid based on droop control is examined. Particular emphasis is given on the management of onshore imbalance volumes due to offshore wind power forecast errors. The economic importance of the control choices of the operator of such an active transmission grid is highlighted, and regulatory implications are briefly discussed. The main contribution of the paper is the coherent development of a droop-controlled MT HVDC grid scheme that integrates optimal power flow (OPF) dispatch, and imbalance volume management.Index Terms-Control strategy, imbalance settlement, implicit auctions, load flow control, market integration, multi-terminal high voltage DC (HVDC) transmission, offshore wind farms, voltage source converters (VSC).

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