Demand response(DR)is one of the core technical functions of smart grid. Not only is it able to serve as a low-cost capacity resource in face of emergency

but also it can affect the pricing of electricity market which reduces price fluctuations. An overview on the participation of DR in marker environment is conducted and the technology of ancillary service provision for DR is discussed in detail. The operation mechanism

dispatch and control strategy and the potential of loads are described. Finally

based on the actual situation in China

existing obstacles to the implementation of DR in ancillary markets are analyzed and the huge potential and development trend of carrying out DR in ancillary markets are pointed out.