Reactive Power Market

The Reactive Power Services allow NESO to secure operation of the network at the lowest cost to consumers. 

What are the reactive power services? 

Reactive power services ensure voltage levels on the system remain within a given range, as mandated in the SQSS (Security and Quality of Supply Standard) and we need generators or other assets to either absorb or inject reactive power to maintain the voltage. 

Since 2020, the Voltage Pathfinders have procured for long-term voltage requirements. The development of a reactive power market provides a route to access voltage services through an open, transparent, and competitive market specific to reactive power. In 2021 we launched the Future of Reactive Power innovation project to explore the design for an enduring reactive power market with a focus on value for consumers.  

The design recommended procurement across three timescales:  

• Long-term (Y-4)  
• Mid-term (Y-1)   
• Short-term (D-1)   

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