| Summary: | Demand-Side Generating Assets (DSGAs) relate to existing small diesel Gensets serving the critical loads of infrastructures in unexpected electrical network interruptions. This paper investigates the exploitation of DSGA as potential suppliers of ancillary services (AS), especially in the case of isolated or weak interconnected island power systems such as in Crete. In this regard, their impact on substations’ loading reductions and associated copper losses is presented, using a substation as a case study with a typical touristic load in Crete. DSGA’s impact on such a significant part of reliability enhancement in distribution systems is evaluated, examining different scenarios of DSGA installed capacity. Subsequently, extensive research is carried out regarding the cost analysis for their access to the electrical grid providing AS, in combination with their operating cost analysis. The calculations on fuel consumption cost show that DSGA are comparable with the most expensive gas turbines of the Cretan power system. Finally, considering the capital cost for their required configurations and their fuel consumption cost, a proposal for their remuneration prices is made. The prices that arise are lower than the actual remuneration prices of other similar services such as Genset rentals for the case of the Cretan power system.
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