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Strategic Offering for Wind Power Producers Considering Energy and Flexible Ramping Products

Author

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  • Xin Fang

    (National Renewable Energy Laboratory, Golden, CO 80401, USA)

  • Venkat Krishnan

    (National Renewable Energy Laboratory, Golden, CO 80401, USA)

  • Bri-Mathias Hodge

    (National Renewable Energy Laboratory, Golden, CO 80401, USA)

Abstract

The increasing deployments of renewable generation methods, such as wind, affects the flexibility of electric power system operating due to their inherent variability and uncertainty. To mitigate this, power systems need flexible resources. This paper investigates the potential for wind power to provide flexible ramping products in the real-time market, an additional value stream to the energy it provides. The proposed model for wind power’s strategic offering is formulated as a bi-level optimization problem with wind profit maximization at the upper level and the independent system operator’s economic dispatch—considering both the energy balance and the flexible ramping requirement to counter uncertainty—at the lower level. This bi-level model is converted to a mathematical program with equilibrium constraints (MPEC) by recasting the lower level problem with its Karush–Kuhn–Tucker optimality conditions. Then, through strong duality theory and the big-M method, the MPEC model is converted to a mixed-integer linear programming model. The opportunity cost and the price for wind power-providing ramping products are analyzed. Numerical examples based on a 5-bus network are presented to verify the proposed model and concept.

Suggested Citation

  • Xin Fang & Venkat Krishnan & Bri-Mathias Hodge, 2018. "Strategic Offering for Wind Power Producers Considering Energy and Flexible Ramping Products," Energies, MDPI, vol. 11(5), pages 1-19, May.
    • Handle: RePEc:gam:jeners:v:11:y:2018:i:5:p:1239-:d:146069
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    References listed on IDEAS

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    1. RUIZ, Carlos & CONEJO, Antonio J. & SMEERS, Yves, 2012. "Equilibria in an oligopolistic electricity pool with stepwise offer curves," LIDAM Reprints CORE 2395, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    2. Beibei Wang & Xin Fang & Xiayang Zhao & Houhe Chen, 2015. "Bi-Level Optimization for Available Transfer Capability Evaluation in Deregulated Electricity Market," Energies, MDPI, vol. 8(12), pages 1-17, November.
    3. Cui, Mingjian & Zhang, Jie & Feng, Cong & Florita, Anthony R. & Sun, Yuanzhang & Hodge, Bri-Mathias, 2017. "Characterizing and analyzing ramping events in wind power, solar power, load, and netload," Renewable Energy, Elsevier, vol. 111(C), pages 227-244.
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    Cited by:

    1. Ana Fernández-Guillamón & Guillermo Martínez-Lucas & Ángel Molina-García & Jose-Ignacio Sarasua, 2020. "Hybrid Wind–PV Frequency Control Strategy under Variable Weather Conditions in Isolated Power Systems," Sustainability, MDPI, vol. 12(18), pages 1-25, September.
    2. Wook-Won Kim & Jong-Keun Park & Yong-Tae Yoon & Mun-Kyeom Kim, 2018. "Transmission Expansion Planning under Uncertainty for Investment Options with Various Lead-Times," Energies, MDPI, vol. 11(9), pages 1-19, September.
    3. Yuanyuan, Zhang & Huiru, Zhao & Bingkang, Li, 2023. "Distributionally robust comprehensive declaration strategy of virtual power plant participating in the power market considering flexible ramping product and uncertainties," Applied Energy, Elsevier, vol. 343(C).
    4. Ana Fernández-Guillamón & Guillermo Martínez-Lucas & Ángel Molina-García & Jose Ignacio Sarasua, 2020. "An Adaptive Control Scheme for Variable Speed Wind Turbines Providing Frequency Regulation in Isolated Power Systems with Thermal Generation," Energies, MDPI, vol. 13(13), pages 1-19, July.

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