IEEE 1547-2018 is the standard which governs functionality of inverters connected to the grid. In contrast to the older (2003) version, this update requires inverters to:
- "provide voltage regulation capability by changes of reactive power" (section 5.3.1)
- "provide a voltage regulation capability by changes of active power" (section 5.4.1)
- "modulate active power to mitigate the underfrequency conditions" (section 6.5.2.3.2)
- "modulate active power to mitigate the overfrequency conditions" (section 6.5.2.4.2)
These requirements cover two of the four categories of ancillary services: voltage control and frequency response.
I couldn't find anything more recent, but this 2016 report on ancillary services markets in the U.S. (https://publications.anl.gov/anlpubs/2016/09/130102.pdf) indicates that this market is relatively small (compared to energy and capacity markets), and not growing.
As inverter manufacturers and regulatory bodies (states/grid operators/utilities) adopt IEEE 1547-2018, will the need for frequency response and voltage control ancillary services market go away?
No.
The 1547 requirements describe the technical aspects to be built into the inverters, and the communication aspects to be used by utilities = how to report the DER capabilities. 1547 per-se doesn't describe or limit how these services can be used in markets.
One of the limitations of creating a market is the question of how to provide auditable information to prove that the DERs actually did what they were contracted to do.
The IEEE1547-2018 INVERTER CAN'T SPELL END OF MARKET BECAUSE technology is still developing and more breakthrough is around the corner, so it will only last for a while and solve some immediate challenges
I am not deeply involved in such things to know market rumors and to have handy info, but I understand your concern Lee Shaver .
From a technical standpoint I would prefer to see those capabilities in the converter, rather than relying on ancillary equipment. What I can say is that this IEEE 1547 (2018) will apply to new products ad realizations, so there will be market to patch existing ones for some time.
Agboola Mutiu Kolawole thinks that things are moving ad there will be other changes soon, so these specific effects should be transient.
Speculation is not what engineers do. Ask each equipment supplier for their opinion; is usually the best choice.
Thanks all for the thoughts. Tom Berry as I read the spec, the language indicates that the inverters *shall* provide regulation. It seems a utility, in it's interconnect agreements, could require inverters meeting 1547, and thus would know the quantity/capacity/location of inverters that were providing frequency and voltage regulation.
Agboola Mutiu Kolawole agreed -- higher DER penetration will create other challenges, some of which we can't yet anticipate!
Terry Welander I agree, but ancillary markets are a known quantity, and DER penetration is something that can be reasonably forecast. I assume folks at the ISOs are thinking about this, but I find it curious that it isn't being discussed anywhere that I can find.
EPRI has a working group “TSO/DSO Coordination for DER Management."
It was launched in 2019 and reconvened in 2020 to consider new developments including "With updated DER interconnection requirements like IEEE 1547-2018, and grid code mandates (e.g., Rule 21, HI 14H), smart inverters are going to be more common across utility territories. This can create challenges for DER aggregators to determine and inform markets about current availability/capability"
So there was/is the expectation that there will be a market that determines prices for making the capabilities available and for using the capabilities.
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