IDEAS home Printed from https://ideas.repec.org/a/eee/energy/v138y2017icp991-1005.html
   My bibliography  Save this article

Co-optimized trading of wind-thermal-pumped storage system in energy and regulation markets

Author

Listed:
  • Al-Swaiti, Mustafa S.
  • Al-Awami, Ali T.
  • Khalid, Mohammad Waqas

Abstract

Trading of wind energy in day-ahead electricity markets entails significant risks. Wind traders are, therefore, interested in mitigating their trading risks in a number of ways. This work suggests addressing this issue in a comprehensive manner by coordinating the trading of wind resources with thermal resources and a pumped-hydro storage system (PHS) and co-optimizing the trading in energy and regulation markets. The trading strategy is modeled as a mixed integer linear stochastic program that takes into account several uncertain parameters, including wind power outputs, prices for energy, balancing, and regulation, and regulation deployments. In this optimization, the trader’s attitude toward risks is controlled by using the metric of conditional value at risk (CVaR). Simulation results show that coordinated and co-optimized trading of the generation resources and PHS significantly improve the total expected profits and mitigates trader’s risks.

Suggested Citation

  • Al-Swaiti, Mustafa S. & Al-Awami, Ali T. & Khalid, Mohammad Waqas, 2017. "Co-optimized trading of wind-thermal-pumped storage system in energy and regulation markets," Energy, Elsevier, vol. 138(C), pages 991-1005.
    • Handle: RePEc:eee:energy:v:138:y:2017:i:c:p:991-1005
    DOI: 10.1016/j.energy.2017.07.101
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0360544217312793
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.energy.2017.07.101?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Ahmadi, Abdollah & Charwand, Mansour & Siano, Pierluigi & Nezhad, Ali Esmaeel & Sarno, Debora & Gitizadeh, Mohsen & Raeisi, Fatima, 2016. "A novel two-stage stochastic programming model for uncertainty characterization in short-term optimal strategy for a distribution company," Energy, Elsevier, vol. 117(P1), pages 1-9.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Lv, Chaoxian & Liang, Rui & Zhang, Ge & Zhang, Xiaotong & Jin, Wei, 2023. "Energy accommodation-oriented interaction of active distribution network and central energy station considering soft open points," Energy, Elsevier, vol. 268(C).
    2. Dranka, Géremi Gilson & Ferreira, Paula & Vaz, A. Ismael F., 2021. "A review of co-optimization approaches for operational and planning problems in the energy sector," Applied Energy, Elsevier, vol. 304(C).
    3. Díaz, Guzmán & Coto, José & Gómez-Aleixandre, Javier, 2019. "Optimal operation value of combined wind power and energy storage in multi-stage electricity markets," Applied Energy, Elsevier, vol. 235(C), pages 1153-1168.
    4. Chen, Sheng & Wang, Jing & Zhang, Jian & Yu, Xiaodong & He, Wei, 2020. "Transient behavior of two-stage load rejection for multiple units system in pumped storage plants," Renewable Energy, Elsevier, vol. 160(C), pages 1012-1022.
    5. Lasemi, Mohammad Ali & Arabkoohsar, Ahmad, 2020. "Optimal operating strategy of high-temperature heat and power storage system coupled with a wind farm in energy market," Energy, Elsevier, vol. 210(C).
    6. Karakoyun, Ece Cigdem & Avci, Harun & Kocaman, Ayse Selin & Nadar, Emre, 2023. "Deviations from commitments: Markov decision process formulations for the role of energy storage," International Journal of Production Economics, Elsevier, vol. 255(C).
    7. Tan, Qiaofeng & Nie, Zhuang & Wen, Xin & Su, Huaying & Fang, Guohua & Zhang, Ziyi, 2024. "Complementary scheduling rules for hybrid pumped storage hydropower-photovoltaic power system reconstructing from conventional cascade hydropower stations," Applied Energy, Elsevier, vol. 355(C).
    8. Liu, Yangyang & Shen, Zhongqi & Tang, Xiaowei & Lian, Hongbo & Li, Jiarui & Gong, Jinxia, 2019. "Worst-case conditional value-at-risk based bidding strategy for wind-hydro hybrid systems under probability distribution uncertainties," Applied Energy, Elsevier, vol. 256(C).
    9. Abbasi, Mohammad Hossein & Taki, Mehrdad & Rajabi, Amin & Li, Li & Zhang, Jiangfeng, 2019. "Coordinated operation of electric vehicle charging and wind power generation as a virtual power plant: A multi-stage risk constrained approach," Applied Energy, Elsevier, vol. 239(C), pages 1294-1307.
    10. Tian, Yuyu & Chang, Jianxia & Wang, Yimin & Wang, Xuebin & Zhao, Mingzhe & Meng, Xuejiao & Guo, Aijun, 2022. "A method of short-term risk and economic dispatch of the hydro-thermal-wind-PV hybrid system considering spinning reserve requirements," Applied Energy, Elsevier, vol. 328(C).
    11. Ding, Yihong & Tan, Qinliang & Shan, Zijing & Han, Jian & Zhang, Yimei, 2023. "A two-stage dispatching optimization strategy for hybrid renewable energy system with low-carbon and sustainability in ancillary service market," Renewable Energy, Elsevier, vol. 207(C), pages 647-659.
    12. El Hage, Hicham & Herez, Amal & Ramadan, Mohamad & Bazzi, Hassan & Khaled, Mahmoud, 2018. "An investigation on solar drying: A review with economic and environmental assessment," Energy, Elsevier, vol. 157(C), pages 815-829.
    13. Crespo-Vazquez, Jose L. & Carrillo, C. & Diaz-Dorado, E. & Martinez-Lorenzo, Jose A. & Noor-E-Alam, Md., 2018. "A machine learning based stochastic optimization framework for a wind and storage power plant participating in energy pool market," Applied Energy, Elsevier, vol. 232(C), pages 341-357.
    14. Al-Lawati, Razan A.H. & Crespo-Vazquez, Jose L. & Faiz, Tasnim Ibn & Fang, Xin & Noor-E-Alam, Md., 2021. "Two-stage stochastic optimization frameworks to aid in decision-making under uncertainty for variable resource generators participating in a sequential energy market," Applied Energy, Elsevier, vol. 292(C).
    15. Sriyakul, Thanaporn & Jermsittiparsert, Kittisak, 2021. "Risk-controlled economic performance of compressed air energy storage and wind generation in day-ahead, intraday and balancing markets," Renewable Energy, Elsevier, vol. 165(P1), pages 182-193.
    16. Khaloie, Hooman & Abdollahi, Amir & Shafie-khah, Miadreza & Anvari-Moghaddam, Amjad & Nojavan, Sayyad & Siano, Pierluigi & Catalão, João P.S., 2020. "Coordinated wind-thermal-energy storage offering strategy in energy and spinning reserve markets using a multi-stage model," Applied Energy, Elsevier, vol. 259(C).
    17. Zhou, Yizhou & Wei, Zhinong & Sun, Guoqiang & Cheung, Kwok W. & Zang, Haixiang & Chen, Sheng, 2018. "A robust optimization approach for integrated community energy system in energy and ancillary service markets," Energy, Elsevier, vol. 148(C), pages 1-15.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Fu, D.Z. & Zheng, Z.Y. & Shi, H.B. & Xiao, Rui & Huang, G.H. & Li, Y.P., 2017. "A multi-fuel management model for a community-level district heating system under multiple uncertainties," Energy, Elsevier, vol. 128(C), pages 337-356.
    2. Dadashi, Mojtaba & Haghifam, Sara & Zare, Kazem & Haghifam, Mahmoud-Reza & Abapour, Mehdi, 2020. "Short-term scheduling of electricity retailers in the presence of Demand Response Aggregators: A two-stage stochastic Bi-Level programming approach," Energy, Elsevier, vol. 205(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:energy:v:138:y:2017:i:c:p:991-1005. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.journals.elsevier.com/energy .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.