This presentation describes how you could conceivably allocate variability and reserve requirements, including how to allocate aggregation benefits. Conclusions of this presentation are: (1) Aggregation provides benefits because individual requirements are not 100% correlated; (2) Method needed to allocate reduced requirement among participants; (3) Differences between allocation results are subtle - (a) Not immediately obvious which method is 'better'; (b) Many are numerically 'correct', they sum to the physical requirement; (c) Many are not 'fair', Results depend on sub-aggregation and/or the order individuals are included; and (4) Vector allocation method is simple and fair.
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National Renewable Energy Laboratory (NREL), Golden, CO.
Place of Publication:
Golden, Colorado
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This presentation describes how you could conceivably allocate variability and reserve requirements, including how to allocate aggregation benefits. Conclusions of this presentation are: (1) Aggregation provides benefits because individual requirements are not 100% correlated; (2) Method needed to allocate reduced requirement among participants; (3) Differences between allocation results are subtle - (a) Not immediately obvious which method is 'better'; (b) Many are numerically 'correct', they sum to the physical requirement; (c) Many are not 'fair', Results depend on sub-aggregation and/or the order individuals are included; and (4) Vector allocation method is simple and fair.
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Kirby, B.; King, J. & Milligan, M.Allocating Variability and Reserve Requirements,
presentation,
October 1, 2011;
Golden, Colorado.
(https://digital.library.unt.edu/ark:/67531/metadc834435/:
accessed April 13, 2026),
University of North Texas Libraries, UNT Digital Library, https://digital.library.unt.edu;
crediting UNT Libraries Government Documents Department.
