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Sensing and measurement systems are quintessential to the safe and reliable operation of electric power grids. Their strategic placement is of ultimate importance because it is not economically viable to install measurement systems on every node and branch of a power grid, though they need to be monitored. An overwhelming number of strategies have been developed to meet oftentimes multiple conflicting objectives. The prime challenge in formulating the problem lies in developing a heuristic or an optimisation model that, though mathematically tractable and constrained in cost, leads to trustworthy technical solutions. Further, large‐scale, long‐term deployments pose additional challenges because the boundary conditions change as technologies evolve. For instance, the advent of new technologies in sensing and measurement, as well as in communications and networking, might impact the cost and performance of available solutions and shift initially set conditions. Also, the placement strategies developed for transmission grids might not be suitable for distribution grids, and vice versa, because of unique characteristics; therefore, the strategies need to be flexible, to a certain extent, because no two power grids are alike. Despite the extensive literature on the present topic, the focus of published works tends to be on a specific subject, such as the optimal placement of measurements to ensure observability in transmission grids. There is a dearth of work providing a comprehensive picture for developing optimal placement strategies. Because of the ongoing efforts on the modernisation of electric power grids, there is a need to consolidate the status quo while exposing its limitations to inform policymakers, industry stakeholders, and researchers on the research‐and‐development needs to push the boundaries for innovation. Accordingly, this paper first reviews the state‐of‐the‐art considering both transmission and distribution grids. Then, it consolidates the key factors to be considered in the problem formulation. Finally, it provides a set of perspectives on the measurement placement problem, and it concludes with future research directions. [ABSTRACT FROM AUTHOR]

As the penetration of renewable energy sources increases, the growing renewable power variability brings ramping issues to power systems. Meanwhile, the development of distributed energy resources (DERs) makes the distribution systems to provide both energy and ancillary services. To incentivise individual resources and customers to alleviate ramping issues on the demand side, a two-stage distribution locational marginal price (DLMP) calculation and decomposition method is developed to formulate the marginal power ramping price for DERs. In the first stage of the proposed method, a distribution system operator market scheduling model based on AC optimal power flow is designed to estimate the optimal operating point of the distribution system. Subsequently, the voltage and power flow constraints are linearised in stage two to calculate DLMP. Finally, based on the Lagrange function and sensitivity factors, DLMP is decomposed to the marginal costs for active/reactive power, voltage management, power loss and power variability. Case studies demonstrate that the proposed model can effectively smooth the power fluctuation and reduce the ramping flexibility requirements of distribution systems. [ABSTRACT FROM AUTHOR]