Supply Reliability
Taiwan Electricity Trading Development

Taiwan power company (hereinafter referred to as “TPC”) has made it a priority to enhance the flexibility and resilience of the grid in order to achieve net-zero emissions. Firstly, in 2019, TPC launched Non-Conventional Power Resources Participating Ancillary Services on Electricity (NCPRS), a program for end-user to reduce load or use their own electricity generation equipment. This program successfully attracted more than 84MW of resources to participate, and these resources can be used as a conventional generation unit to provide spinning reserve for the Central Dispatch and Control Center (CDCC). Along with the establishment of the market operator of TPC and with the participation of the international power industry, the average executive rate of ancillary service provided by these resources are over 106%. This result can be seemed as the achievement of the LAAR (Load as a resource) goal.

In addition, TPC has also planned how to use energy storage system (ESS). In collaboration with domestic enterprises and ESS manufacturers, TPC has initiated the “Asia’s first” AFC project to procure 15MW ESS resources providing frequency regulation services. These AFC ESS resources can automatically follow the frequency variation and can adjust its output/input within 1 second. The functionality of AFC ESS resources has been proved during the blackout incident happened in 2021, which means that they have the capacity to prevent the power grid contingency.

Based on the success of the AFC project mentioned above, Taiwanese government has drafted a formal regulation conce
rning the “Energy Trading Platform” which instructed TPC to establish a “ Energy Trading Platform “(ETP) in July 2021. Nowadays, along with the participation of the utility generation enterprise, TPC has successfully recruit dozens of enterprises to participate in the ETP. TPC also created the role of QSE which ask participants of ETP to pass the ETP Proficiency test, and there has been more than thousands of people passed this test. The capacity of resources which has registered to ETP has over than 170MW until the end of January 2022.

TPC expects also to create a new trading product in July 2022 for long-term ESS and expects to implement 1,000MW ESS in 2025. It is expected to provide smoothing and load-shifting services to the grid.

Along with the energy transition goal in 2025, it is expected to obtain more than 3,900MW power resources with various types through ETP. TPC also plans to further open the intraday imbalance energy market. With the participation of these dispatchable power resources, Taiwanese power grid can be one of the most sustainable and robust grids in the world, which can also bring greater confidence in the path to achieve net-zero emission goal.
(Currently, the types of decentralized power resources acquired include ESSs, electric vehicle charging stations, telecommunication equipment rooms, self-generating equipment, cogeneration, demand response from industrial or domestic users, etc.)

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