IDEAS home Printed from https://ideas.repec.org/a/eee/rensus/v78y2017icp1253-1261.html
   My bibliography  Save this article

Operating policies for energy generation and revenue management in single-reservoir hydropower systems

Author

Listed:
  • Ak, Mumtaz
  • Kentel, Elcin
  • Savasaneril, Secil

Abstract

We study the reservoir management problem in hydropower plants, and propose operating policies to maximize the average annual energy generation or the average annual revenue. Under revenue maximization, our policies allow for short-term electricity price variations to be incorporated into the long-term plan. First, we provide a detailed review of hydropower plant operation, focusing on implicit stochastic optimization approaches and integration of energy price variations in reservoir management. Then, we explain non-linear programming models that we developed for obtaining operating policies with different characteristics. We evaluate and compare the operating policies through a case study. Policies characterized by dynamic end-of-month storage levels are shown to perform much better than the policy with an optimal static end-of-month storage level, and it has been further shown that the dynamic policies perform quite close to the theoretical upper bound. Finally, we show that maximizing the average annual energy and maximizing the average annual revenue objectives yield considerably different operating policies and using one policy in place of the other may result in significant loss of benefit or resource.

Suggested Citation

  • Ak, Mumtaz & Kentel, Elcin & Savasaneril, Secil, 2017. "Operating policies for energy generation and revenue management in single-reservoir hydropower systems," Renewable and Sustainable Energy Reviews, Elsevier, vol. 78(C), pages 1253-1261.
    • Handle: RePEc:eee:rensus:v:78:y:2017:i:c:p:1253-1261
    DOI: 10.1016/j.rser.2017.04.067
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1364032117305658
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.rser.2017.04.067?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. Pérez-Díaz, Juan I. & Wilhelmi, José R., 2010. "Assessment of the economic impact of environmental constraints on short-term hydropower plant operation," Energy Policy, Elsevier, vol. 38(12), pages 7960-7970, December.
    2. Pan Liu & Shenglian Guo & Xiaowei Xu & Jionghong Chen, 2011. "Derivation of Aggregation-Based Joint Operating Rule Curves for Cascade Hydropower Reservoirs," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 25(13), pages 3177-3200, October.
    3. Erdogdu, Erkan, 2011. "An analysis of Turkish hydropower policy," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(1), pages 689-696, January.
    4. Selin Kocaman, Ayse & Abad, Carlos & Troy, Tara J. & Tim Huh, Woonghee & Modi, Vijay, 2016. "A stochastic model for a macroscale hybrid renewable energy system," Renewable and Sustainable Energy Reviews, Elsevier, vol. 54(C), pages 688-703.
    5. Ak, M. & Yanmaz, A.M. & Kentel, E., 2014. "A comparative study on energy income estimation: A case study in Turkey," Renewable and Sustainable Energy Reviews, Elsevier, vol. 38(C), pages 700-705.
    6. Sahin, Oz & Stewart, Rodney A. & Giurco, Damien & Porter, Michael G., 2017. "Renewable hydropower generation as a co-benefit of balanced urban water portfolio management and flood risk mitigation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 68(P2), pages 1076-1087.
    7. Koç, Cengiz, 2014. "A study on the development of hydropower potential in Turkey," Renewable and Sustainable Energy Reviews, Elsevier, vol. 39(C), pages 498-508.
    8. Catalão, J.P.S. & Pousinho, H.M.I. & Contreras, J., 2012. "Optimal hydro scheduling and offering strategies considering price uncertainty and risk management," Energy, Elsevier, vol. 37(1), pages 237-244.
    9. Catalão, J.P.S. & Pousinho, H.M.I. & Mendes, V.M.F., 2011. "Hydro energy systems management in Portugal: Profit-based evaluation of a mixed-integer nonlinear approach," Energy, Elsevier, vol. 36(1), pages 500-507.
    10. Jian-xia Chang & Tao Bai & Qiang Huang & Da-wen Yang, 2013. "Optimization of Water Resources Utilization by PSO-GA," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 27(10), pages 3525-3540, August.
    11. Chang-ming Ji & Ting Zhou & Hai-tao Huang, 2014. "Operating Rules Derivation of Jinsha Reservoirs System with Parameter Calibrated Support Vector Regression," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 28(9), pages 2435-2451, July.
    12. Mishra, Mukesh Kumar & Khare, Nilay & Agrawal, Alka Bani, 2015. "Small hydro power in India: Current status and future perspectives," Renewable and Sustainable Energy Reviews, Elsevier, vol. 51(C), pages 101-115.
    13. Paish, Oliver, 2002. "Small hydro power: technology and current status," Renewable and Sustainable Energy Reviews, Elsevier, vol. 6(6), pages 537-556, December.
    14. Alcigeimes Celeste & Max Billib, 2012. "Improving Implicit Stochastic Reservoir Optimization Models with Long-Term Mean Inflow Forecast," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 26(9), pages 2443-2451, July.
    15. Asmadi Ahmad & Ahmed El-Shafie & Siti Razali & Zawawi Mohamad, 2014. "Reservoir Optimization in Water Resources: a Review," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 28(11), pages 3391-3405, September.
    16. Singh, Vineet Kumar & Singal, S.K., 2017. "Operation of hydro power plants-a review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 69(C), pages 610-619.
    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. Li, Xiao & Liu, Pan & Wang, Yibo & Yang, Zhikai & Gong, Yu & An, Rihui & Huang, Kangdi & Wen, Yan, 2022. "Derivation of operating rule curves for cascade hydropower reservoirs considering the spot market: A case study of the China's Qing River cascade-reservoir system," Renewable Energy, Elsevier, vol. 182(C), pages 1028-1038.
    2. Xu, Shitian & Liu, Pan & Li, Xiao & Cheng, Qian & Liu, Zheyuan, 2023. "Deriving long-term operating rules of the hydro-wind-PV hybrid energy system considering electricity price," Renewable Energy, Elsevier, vol. 219(P1).
    3. Ak, Mümtaz & Kentel, Elcin & Savasaneril, Secil, 2019. "Quantifying the revenue gain of operating a cascade hydropower plant system as a pumped-storage hydropower system," Renewable Energy, Elsevier, vol. 139(C), pages 739-752.
    4. Gyanwali, Khem & Komiyama, Ryoichi & Fujii, Yasumasa, 2020. "Representing hydropower in the dynamic power sector model and assessing clean energy deployment in the power generation mix of Nepal," Energy, Elsevier, vol. 202(C).
    5. Kang, Byung O. & Lee, Munsu & Kim, Youngil & Jung, Jaesung, 2018. "Economic analysis of a customer-installed energy storage system for both self-saving operation and demand response program participation in South Korea," Renewable and Sustainable Energy Reviews, Elsevier, vol. 94(C), pages 69-83.
    6. Rui Cao & Jianjian Shen & Chuntian Cheng & Jian Wang, 2020. "Optimization Model for the Long-Term Operation of an Interprovincial Hydropower Plant Incorporating Peak Shaving Demands," Energies, MDPI, vol. 13(18), pages 1-21, September.
    7. Shen, Jianjian & Cheng, Chuntian & Wang, Sen & Yuan, Xiaoye & Sun, Lifei & Zhang, Jun, 2020. "Multiobjective optimal operations for an interprovincial hydropower system considering peak-shaving demands," Renewable and Sustainable Energy Reviews, Elsevier, vol. 120(C).
    8. T. M. I. Mahlia & H. Syaheed & A. E. Pg Abas & F. Kusumo & A. H. Shamsuddin & Hwai Chyuan Ong & M. R. Bilad, 2019. "Organic Rankine Cycle (ORC) System Applications for Solar Energy: Recent Technological Advances," Energies, MDPI, vol. 12(15), pages 1-19, July.

    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. Chang-ming Ji & Ting Zhou & Hai-tao Huang, 2014. "Operating Rules Derivation of Jinsha Reservoirs System with Parameter Calibrated Support Vector Regression," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 28(9), pages 2435-2451, July.
    2. Wen-jing Niu & Zhong-kai Feng & Shuai Liu & Yu-bin Chen & Yin-shan Xu & Jun Zhang, 2021. "Multiple Hydropower Reservoirs Operation by Hyperbolic Grey Wolf Optimizer Based on Elitism Selection and Adaptive Mutation," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 35(2), pages 573-591, January.
    3. Feng, Zhong-kai & Niu, Wen-jing & Wang, Wen-chuan & Zhou, Jian-zhong & Cheng, Chun-tian, 2019. "A mixed integer linear programming model for unit commitment of thermal plants with peak shaving operation aspect in regional power grid lack of flexible hydropower energy," Energy, Elsevier, vol. 175(C), pages 618-629.
    4. Ardizzon, G. & Cavazzini, G. & Pavesi, G., 2014. "A new generation of small hydro and pumped-hydro power plants: Advances and future challenges," Renewable and Sustainable Energy Reviews, Elsevier, vol. 31(C), pages 746-761.
    5. Tao Bai & Lianzhou Wu & Jian-xia Chang & Qiang Huang, 2015. "Multi-Objective Optimal Operation Model of Cascade Reservoirs and Its Application on Water and Sediment Regulation," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 29(8), pages 2751-2770, June.
    6. Jiang, Zhiqiang & Li, Anqiang & Ji, Changming & Qin, Hui & Yu, Shan & Li, Yuanzheng, 2016. "Research and application of key technologies in drawing energy storage operation chart by discriminant coefficient method," Energy, Elsevier, vol. 114(C), pages 774-786.
    7. Santhosh, Apoorva & Farid, Amro M. & Youcef-Toumi, Kamal, 2014. "Real-time economic dispatch for the supply side of the energy-water nexus," Applied Energy, Elsevier, vol. 122(C), pages 42-52.
    8. Bracken, L.J. & Bulkeley, H.A. & Maynard, C.M., 2014. "Micro-hydro power in the UK: The role of communities in an emerging energy resource," Energy Policy, Elsevier, vol. 68(C), pages 92-101.
    9. Glotić, Arnel & Glotić, Adnan & Kitak, Peter & Pihler, Jože & Tičar, Igor, 2014. "Optimization of hydro energy storage plants by using differential evolution algorithm," Energy, Elsevier, vol. 77(C), pages 97-107.
    10. Santhosh, Apoorva & Farid, Amro M. & Youcef-Toumi, Kamal, 2014. "The impact of storage facility capacity and ramping capabilities on the supply side economic dispatch of the energy–water nexus," Energy, Elsevier, vol. 66(C), pages 363-377.
    11. Sousa, Jorge A.M. & Teixeira, Fábio & Faias, Sérgio, 2014. "Impact of a price-maker pumped storage hydro unit on the integration of wind energy in power systems," Energy, Elsevier, vol. 69(C), pages 3-11.
    12. Vinod, J. & Sarkar, Bikash K. & Sanyal, Dipankar, 2022. "Flow control in a small Francis turbine by system identification and fuzzy adaptation of PID and deadband controllers," Renewable Energy, Elsevier, vol. 201(P2), pages 87-99.
    13. Zhang, Yuning & Zhang, Yuning & Qian, Zhongdong & Ji, Bin & Wu, Yulin, 2016. "A review of microscopic interactions between cavitation bubbles and particles in silt-laden flow," Renewable and Sustainable Energy Reviews, Elsevier, vol. 56(C), pages 303-318.
    14. Pérez-Díaz, J.I. & Millán, R. & García, D. & Guisández, I. & Wilhelmi, J.R., 2012. "Contribution of re-regulation reservoirs considering pumping capability to environmentally friendly hydropower operation," Energy, Elsevier, vol. 48(1), pages 144-152.
    15. Kadier, Abudukeremu & Kalil, Mohd Sahaid & Pudukudy, Manoj & Hasan, Hassimi Abu & Mohamed, Azah & Hamid, Aidil Abdul, 2018. "Pico hydropower (PHP) development in Malaysia: Potential, present status, barriers and future perspectives," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P2), pages 2796-2805.
    16. Seme, Sebastijan & Sredenšek, Klemen & Praunseis, Zdravko & Štumberger, Bojan & Hadžiselimović, Miralem, 2018. "Optimal price of electricity of solar power plants and small hydro power plants – Technical and economical part of investments," Energy, Elsevier, vol. 157(C), pages 87-95.
    17. Akpınar, Adem, 2013. "The contribution of hydropower in meeting electric energy needs: The case of Turkey," Renewable Energy, Elsevier, vol. 51(C), pages 206-219.
    18. Zhong, Zhiming & Fan, Neng & Wu, Lei, 2023. "A hybrid robust-stochastic optimization approach for day-ahead scheduling of cascaded hydroelectric system in restructured electricity market," European Journal of Operational Research, Elsevier, vol. 306(2), pages 909-926.
    19. Sahin, Oz & Stewart, Rodney A. & Giurco, Damien & Porter, Michael G., 2017. "Renewable hydropower generation as a co-benefit of balanced urban water portfolio management and flood risk mitigation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 68(P2), pages 1076-1087.
    20. Hickman, William & Muzhikyan, Aramazd & Farid, Amro M., 2017. "The synergistic role of renewable energy integration into the unit commitment of the energy water nexus," Renewable Energy, Elsevier, vol. 108(C), pages 220-229.

    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:rensus:v:78:y:2017:i:c:p:1253-1261. 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.elsevier.com/wps/find/journaldescription.cws_home/600126/description#description .

    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.