With the development of the smart grid in China, new opportunities for responsive industrial loads to participate in the provision of ancillary services (AS) will become accessible. This paper summarizes AS in China and analyzes the necessary characteristics and advantages of industrial users to provide AS according to their response mechanism. Cement manufacturing and aluminum smelter processes are selected as two representatives of responsive industrial loads. An agent-based model that

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... s generation, industrial user, and grid agents is proposed. Using two case studies, we analyze the integrated power management of conventional units and industrial loads in day-ahead and real-time AS scheduling based on real device parameters, price mechanisms and production data. The simulation results indicate that the participation of responsive industrial loads in the provision of AS, in China, can improve the coal consumption rate and the system-wide load factor as well as reduce the total system cost for the provision of AS significantly.