An Introduction to Reactive The National Grid Company plc

Reactive Power

Definition

Reactive power is a concept used by engineers to describe the background energy movement
in an Alternating Current (AC) system arising from the production of electric and magnetic
fields. These fields store energy which changes through each AC cycle. Devices which store
energy by virtue of a magnetic field produced by a flow of current are said to absorb reactive
power; those which store energy by virtue of electric fields are said to generate reactive
power.

Power flows, both actual and potential, must be carefully controlled for a power system to
operate within acceptable voltage limits. Reactive power flows can give rise to substantial
voltage changes across the system, which means that it is necessary to maintain reactive
power balances between sources of generation and points of demand on a 'zonal basis'. Unlike
system frequency, which is consistent throughout an interconnected system, voltages
experienced at points across the system form a "voltage profile" which is uniquely related to
local generation and demand at that instant, and is also affected by the prevailing system
network arrangements. National Grid is obliged to secure the transmission network to closely
defined voltage and stability criteria. This is predominantly achieved through circuit
arrangements, transformers and shunt or static compensation.

Sources of Reactive
Most equipment connected to the electricity system will generate or absorb reactive power,
but not all can be used economically to control voltage. Principally synchronous generators
and specialised compensation equipment are used to set the voltage at particular points in the
system, which elsewhere is determined by the reactive power flows.
Synchronous Generators - Synchronous machines can be made to generate or absorb
reactive power depending upon the excitation (a form of generator control) applied. The
output of synchronous machines is continuously variable over the operating range and
automatic voltage regulators can be used to control the output so as to maintain a constant
system voltage.
Synchronous Compensators - Certain smaller generators, once run up to speed and
synchronised to the system, can be declutched from their turbine and provide reactive power
without producing real power. This mode of operation is called Synchronous Compensation.
Capacitive and Inductive Compensators - These are devices that can be connected to the
system to adjust voltage levels. A capacitive compensator produces an electric field thereby
generating reactive power whilst an inductive compensator produces a magnetic field to
absorb reactive power. Compensation devices are available as either capacitive or inductive
alone or as a hybrid to provide both generation and absorption of reactive power.
Overhead Lines and Underground Cables - Overhead lines and underground cables, when
operating at the normal system voltage, both produce strong electric fields and so generate
reactive power. When current flows through a line or cable it produces a magnetic field which
absorbs reactive power. A lightly loaded overhead line is a net generator of reactive power

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An Introduction to Reactive The National Grid Company plc

whilst a heavily loaded line is a net absorber of reactive power. In the case of cables designed
for use at 275 or 400kV the reactive power generated by the electric field is always greater
than the reactive power absorbed by the magnetic field and so cables are always net
generators of reactive power.
Transformers - Transformers produce magnetic fields and therefore absorb reactive power.
The heavier the current loading the higher the absorption.
Consumer Loads - Some loads such as motors produce a magnetic field and therefore absorb
reactive power but other customer loads, such as fluorescent lighting, generate reactive
power. In addition reactive power may be generated or absorbed by the lines and cables of
distribution systems.

Service
Grid Code Requirements
All BM Units must be capable of supplying their rated power output (MW) at any point
between the limits 0.85 power factor lagging and 0.95 power factor leading at the BM Unit
terminals. Also the short circuit ratio of the BM Unit must not be less than 0.5. The reactive
power output under steady state conditions should be fully available within the voltage range
5% at 400kV, 275kV, 132kV and lower voltages and must have a continuously acting
automatic excitation control system to provide constant terminal voltage control of the BM
Unit without instability over the entire operating range of the BM Unit.

Reactive Power Market Arrangements

Reactive power is procured via the Reactive Power Market, the arrangements of which are
enshrined in Schedule 3 to the Connection and Use of System Code (CUSC). The mechanism
enables National Grid to invite tenders for alternative payment arrangements for the reactive
capability as required by the Grid Code and tenders for the provision of an Enhanced
Reactive Power Service (ERPS).

The two main components are:

• Market Agreements whereby Generators and National Grid can enter into a market based
contract on mutually agreed terms. The agreements can cover the Obligatory Reactive Power
Service (ORPS) and/or the Enhanced Reactive Power Service (ERPS); and
• Default Arrangements whereby, in the absence of a market agreement, payment is made to
generators for reactive utilisation. In accordance with the provisions of CUSC Schedule 3,
all relevant Generators with BM Units have amended Ancillary Services Agreements to
incorporate with respect to those BM Units the default payment arrangements for the
Obligatory Reactive Power Service as more particularly described in CUSC Schedule 3.
Relevant Generators with BM Units not operational but wishing to respond to this Invitation
to Tender are required to amend or conclude Ancillary Services Agreements in similar
fashion in accordance with CUSC Schedule 3 before a Market Agreement can be entered
into.

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An Introduction to Reactive The National Grid Company plc

Obligatory Reactive Power Service

The Obligatory Reactive Power Service is an Ancillary Service with two essential components
- the provision of a minimum Reactive Power capability and the making available of that
capability to National Grid.

The capability component of the Obligatory Reactive Power Service is the minimum Reactive
Power capability required of a BM Unit under and in accordance with the Connection Conditions
of the Grid Code, most particularly CC6.3.2. A User therefore does not provide the Obligatory
Reactive Power Service from a Generating Unit which is compliant with Grid Code CC6.3.2
where compliance is not obligatory for that User in respect of that Generating Unit.

The second component of the Obligatory Reactive Power Service - the making available of the
capability to National Grid to instruct - is typically provided by BM Units in accordance with the
Balancing Codes of the Grid Code. However, it may be provided by other Plant, specifically
Small Independent Generating Plant, where the User and National Grid agree terms for the
provision of suitable metering and communication facilities, including the ability for National
Grid to obtain relevant technical, planning and other data.

The Obligatory Reactive Power Service does not include the provision of Reactive Power
capability from Synchronous Compensation or from static compensation equipment.

The Obligatory Reactive Power Service is more particularly described in subparagraph 1.1 of
CUSC Schedule 3.

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