ABSTRACT
Under the new power system with a high proportion of renewable energies, the virtual power plant (VPP) can fully motivate different kinds of decentralized controllable resources, therefore the VPP is in the future an important part of participating in the system regulation through the electricity market. This paper comprehensively considers the various costs and profits of the VPP, including income sharing, fixed subsidies, and the competitive relationship with thermal power plants in the ancillary service market. The cost and profit of the VPP are analyzed in different situations, which provides a reference for the investment and operation entities of the VPP.
