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Changing the Day-Ahead Gate Closure to Wind Power Integration: A Simulation-Based Study

Author

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  • Hugo Algarvio

    (LNEG–National Laboratory of Energy and Geology, 1649-038 Lisbon, Portugal
    Instituto Superior Técnico, 1049-001 Lisbon, Portugal)

  • António Couto

    (LNEG–National Laboratory of Energy and Geology, 1649-038 Lisbon, Portugal)

  • Fernando Lopes

    (LNEG–National Laboratory of Energy and Geology, 1649-038 Lisbon, Portugal)

  • Ana Estanqueiro

    (LNEG–National Laboratory of Energy and Geology, 1649-038 Lisbon, Portugal)

Abstract

Currently, in most European electricity markets, power bids are based on forecasts performed 12 to 36 hours ahead. Actual wind power forecast systems still lead to large errors, which may strongly impact electricity market outcomes. Accordingly, this article analyzes the impact of the wind power forecast uncertainty and the change of the day-ahead market gate closure on both the market-clearing prices and the outcomes of the balancing market. To this end, it presents a simulation-based study conducted with the help of an agent-based tool, called MATREM. The results support the following conclusion: a change in the gate closure to a time closer to real-time operation is beneficial to market participants and the energy system generally.

Suggested Citation

  • Hugo Algarvio & António Couto & Fernando Lopes & Ana Estanqueiro, 2019. "Changing the Day-Ahead Gate Closure to Wind Power Integration: A Simulation-Based Study," Energies, MDPI, vol. 12(14), pages 1-20, July.
    • Handle: RePEc:gam:jeners:v:12:y:2019:i:14:p:2765-:d:249651
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    References listed on IDEAS

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    Cited by:

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