TY - JOUR
T1 - Stochastic bidding of volume and price in constrained energy and reserve markets
AU - Romero, Natalia
AU - van der Linden, Koos
AU - Morales-Espania, German
AU - de Weerdt, Mathijs
PY - 2021
Y1 - 2021
N2 - The power system is undergoing a significant change as it adapts to the intermittency and uncertainty from renewable generation. Flexibility from loads such as electric vehicles (EVs) can serve as reserves to sustain the supply-demand balance in the grid. Some reserve markets have rules for participation that are computationally challenging for aggregators of such flexible loads: they are asked to bid both volume and price, and on top of this there is a minimum-volume requirement, a constraint currently under discussion both in the US and European markets. Several state-of-the-art methods to find a bidding strategy for the demand scheduling of large fleets of flexible loads in the day-ahead and reserve market are adapted to deal with such a shared constraint, and are compared based on costs, unscheduled demand, and running time. The experimental analysis shows that although such a shared constraint significantly affects scalability, some of the proposed adaptations can deal with this without much loss in quality. This comparison also shows the importance of including good uncertainty models for dealing with the risk of not meeting the users’ demands, and that it is possible to find an optimal single price per time unit for scheduling a fleet of EVs.
AB - The power system is undergoing a significant change as it adapts to the intermittency and uncertainty from renewable generation. Flexibility from loads such as electric vehicles (EVs) can serve as reserves to sustain the supply-demand balance in the grid. Some reserve markets have rules for participation that are computationally challenging for aggregators of such flexible loads: they are asked to bid both volume and price, and on top of this there is a minimum-volume requirement, a constraint currently under discussion both in the US and European markets. Several state-of-the-art methods to find a bidding strategy for the demand scheduling of large fleets of flexible loads in the day-ahead and reserve market are adapted to deal with such a shared constraint, and are compared based on costs, unscheduled demand, and running time. The experimental analysis shows that although such a shared constraint significantly affects scalability, some of the proposed adaptations can deal with this without much loss in quality. This comparison also shows the importance of including good uncertainty models for dealing with the risk of not meeting the users’ demands, and that it is possible to find an optimal single price per time unit for scheduling a fleet of EVs.
KW - Electric vehicle (EV) aggregator
KW - Energy market
KW - Reserve market
KW - Stochastic optimization
UR - http://www.scopus.com/inward/record.url?scp=85092231590&partnerID=8YFLogxK
U2 - 10.1016/j.epsr.2020.106868
DO - 10.1016/j.epsr.2020.106868
M3 - Article
AN - SCOPUS:85092231590
SN - 0378-7796
VL - 191
SP - 1
EP - 8
JO - Electric Power Systems Research
JF - Electric Power Systems Research
M1 - 106868
ER -