The construction of new-type power system with increasing renewable energy penetration urgently requires electricity spot markets to enhance their ability to allocate regulation resources. However

existing mechanisms face issues including unclear cost benchmarks

incomplete parameter declaration systems

and inadequate valuation of regulation services for premium resources like energy storage. This hinders full utilization and investment incentives. This study proposes a two-part clearing mechanism for electricity spot markets that integrates electrochemical energy storage (EES) cycle life degradation costs with regulation service valuation. A linearized computation method for EES degradation costs is developed based on equivalent full-cycle analysis. Furthermore

a two-part clearing mechanism is established to distinguish resource regulation value from energy supply value through separate flexibility regulation and energy supply clearing processes. Finally

the case studies validate the accuracy of the degradation cost calculation method and demonstrate the effectiveness of the proposed mechanism. The study aims to provide a reference for adapting spot markets to new power system development.