In this study represented a method for determining the capacity of reserve in deregulated systems with the goal of maximizing public benefits and network stability maintenance by Transient Energy Function method (TEF). Determining of required spinning reserve capacity of a system is the most important tasks of system operator for safe and ensures operation of power systems. The security is also one of the most important behavioral characteristics of the power system. Security is the ability of the electric system to withstand sudden disturbances such as electric short circuits or unanticipated loss of system elements. One of the factors affecting the security of the power system is the arrangement and distribution of generation unit's. With the advent of deregulated electricity market, a mechanism to determine the arrangement of the generation unit's is more degree of freedom. Given that system security can't be ignored, so the system security coordination in the process of the electricity market is one of the problems of the day. The proposed algorithm was applied to 9-bus IEEE network and has observed that this algorithm can easily prevent the payment of additional costs.
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