Abstract:This paper mainly studies peak modulation reserve auxiliary service cost compensation mechanism caused by large-scale new energy grid-connected in the power market environment, and proposes a power market model cost compensation method, which is a kind of centralized bidding and unified clearing auxiliary service transaction model. It can achieve the optimal allocation of auxiliary service resources.At the same time, the principle of “who enjoys, who bears” and “who leads and who bears” is taken into account in the allocation of auxiliary service costs, which fully reflects fairness and reasonableness. Meanwhile, a kind of peak modulation auxiliary service cost pricing model that considering the inherent fluctuation characteristics of new energy is proposed.It not only considers the impact of new energy on-grid electricity, but also considers the role of new energy power peak to valley difference, and more reflects the influence of new energy in peak modulation resource consumption. This mode realizes the organic combination of the result-oriented compensation mechanism and the process-oriented compensation mechanism, which is more fairness.