#TITLE_ALTERNATIVE#

• Main Author: HENDRO SETYAWAN (NIM : 13205126); Pembimbing : Dr. Ir. Muhammad Nurdin; Dr. Ir. Nanang Haryan, WAHYU
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/17520
• Institution: Institut Teknologi Bandung

System contingency that happened on power system will result imbalance between power supply and demand. To prevent power interruption on demand side, power system operator will schedule operation of spinning reserve with expense that more expensive than energy operation. At conventional management of reserve, power system operator will determine the amount of required reserved capacity as the much generator supply, then the corresponding cost is allocated uniformly to the consumers. This mechanism is ideal to meet technical requirement, but lead to <br /> <br /> <br /> inefficiency because lacks of demands’ preference as consumers. Reserve management that match with structure of power system that have a lot of power generators and demands with interconnection network is reserve management that base on market orientation because every power system component have preference to conducts power transaction. Payment method that based on reserve allocated at pool-based reserve markets has been developed and become power insurance system that more efficient. In managing and operating the reserve market with insurance system, every power supply and demand could conduct transaction through power system operator. This freedom will build competition among power generators to decrease the outage probability of power supply that will result on market efficiency <br /> <br /> <br /> improvement.