Enhancing Operations Management of Pumped Storage Power Stations by Partnering from the Perspective of Multi-Energy Complementarity

Driven by China’s long-term energy transition strategies, the construction of large-scale clean energy power stations, such as wind, solar, and hydropower, is advancing rapidly. Consequently, as a green, low-carbon, and flexible storage power source, the adoption of pumped storage power stations is also rising significantly. Operations management is a significant factor that influences the performance of pumped storage power stations in various domains, including environmental protection, economic benefits, and social benefits. While existing studies have highlighted the importance of stakeholder partnering in operations management, a systematic exploration of the causal relationships between partnering, operations management, and the performance of pumped storage power stations—especially from a multi-energy complementarity perspective—remains untouched. This paper strives to shed light on the vital role of stakeholder partnering in augmenting the operations management and overall performance of pumped storage power stations, thereby contributing to China’s dual carbon goals. A comprehensive conceptual model was developed by reviewing the relevant literature to empirically examine the causal relationships among partnering, operations management, and power station performance, which was validated using data from the Liaoning Qingyuan Pumped Storage Power Station, which is the largest of its kind in Northeast China. The findings suggest: (1) Effective partnering among stakeholders, particularly with grid companies, significantly influences the operations management of pumped storage power stations, with deficiencies in partnering mainly attributed to the lack of effective communication channels and problem-solving mechanisms. (2) The level of operations management in China’s pumped storage power stations is relatively high, averaging a central score around 4.00 (out of a full score of 5) on operations management indicators. However, there is a need to concentrate on enhancing multi-energy complementarity coordination, digital management system development, and profitability. (3) Path analysis further unveils that partnering not only improves operations management but also boosts the performance of pumped storage power stations. These findings suggest a wide range of practical strategies for operations managers at pumped storage power stations to forge partnerships with stakeholders and integrate complementary resources, aiming to achieve excellence in performance.