IDEAS home Printed from https://ideas.repec.org/a/eee/appene/v229y2018icp433-445.html
   My bibliography  Save this article

Robust optimization for day-ahead market participation of smart-home aggregators

Author

Listed:
  • Correa-Florez, Carlos Adrian
  • Michiorri, Andrea
  • Kariniotakis, Georges

Abstract

This paper proposes an optimization model to participate in day-ahead energy markets when PV generation, thermal and electro-chemical storage devices are aggregated at the residential level. The model includes uncertainty in energy prices, PV and load; and adjustable robust optimization is used to determine a tractable counterpart of the problem. By means of robust control parameters, solutions with different levels of conservatism can be found and analyzed. In addition, the presented model includes explicit representation of battery degradation by means of special ordered sets. This equivalent cycling aging calculation takes into account the non-linear relation between depth of discharge and total life cycles of the battery by piecewise linearization. Performance analysis shows the advantage of the proposed approach when compared to the deterministic solution in terms of average cost and risk. For the analyzed real-life test system, the robust formulation achieves cost reduction of up to 5.7% and standard deviation decreases as much as 36.4%.

Suggested Citation

  • Correa-Florez, Carlos Adrian & Michiorri, Andrea & Kariniotakis, Georges, 2018. "Robust optimization for day-ahead market participation of smart-home aggregators," Applied Energy, Elsevier, vol. 229(C), pages 433-445.
    • Handle: RePEc:eee:appene:v:229:y:2018:i:c:p:433-445
    DOI: 10.1016/j.apenergy.2018.07.120
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0306261918311553
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.apenergy.2018.07.120?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. Ranaweera, Iromi & Midtgård, Ole-Morten & Korpås, Magnus, 2017. "Distributed control scheme for residential battery energy storage units coupled with PV systems," Renewable Energy, Elsevier, vol. 113(C), pages 1099-1110.
    2. Zhou, Bin & Li, Wentao & Chan, Ka Wing & Cao, Yijia & Kuang, Yonghong & Liu, Xi & Wang, Xiong, 2016. "Smart home energy management systems: Concept, configurations, and scheduling strategies," Renewable and Sustainable Energy Reviews, Elsevier, vol. 61(C), pages 30-40.
    3. Dimitris Bertsimas & Melvyn Sim, 2004. "The Price of Robustness," Operations Research, INFORMS, vol. 52(1), pages 35-53, February.
    4. Comodi, Gabriele & Giantomassi, Andrea & Severini, Marco & Squartini, Stefano & Ferracuti, Francesco & Fonti, Alessandro & Nardi Cesarini, Davide & Morodo, Matteo & Polonara, Fabio, 2015. "Multi-apartment residential microgrid with electrical and thermal storage devices: Experimental analysis and simulation of energy management strategies," Applied Energy, Elsevier, vol. 137(C), pages 854-866.
    5. Wang, Jianxiao & Zhong, Haiwang & Tang, Wenyuan & Rajagopal, Ram & Xia, Qing & Kang, Chongqing & Wang, Yi, 2017. "Optimal bidding strategy for microgrids in joint energy and ancillary service markets considering flexible ramping products," Applied Energy, Elsevier, vol. 205(C), pages 294-303.
    6. Wang, Luhao & Li, Qiqiang & Ding, Ran & Sun, Mingshun & Wang, Guirong, 2017. "Integrated scheduling of energy supply and demand in microgrids under uncertainty: A robust multi-objective optimization approach," Energy, Elsevier, vol. 130(C), pages 1-14.
    7. Hong, Tao & Fan, Shu, 2016. "Probabilistic electric load forecasting: A tutorial review," International Journal of Forecasting, Elsevier, vol. 32(3), pages 914-938.
    8. Jin, Xin & Baker, Kyri & Christensen, Dane & Isley, Steven, 2017. "Foresee: A user-centric home energy management system for energy efficiency and demand response," Applied Energy, Elsevier, vol. 205(C), pages 1583-1595.
    9. Kuznetsova, Elizaveta & Li, Yan-Fu & Ruiz, Carlos & Zio, Enrico, 2014. "An integrated framework of agent-based modelling and robust optimization for microgrid energy management," Applied Energy, Elsevier, vol. 129(C), pages 70-88.
    10. Dariush Khezrimotlagh & Yao Chen, 2018. "The Optimization Approach," International Series in Operations Research & Management Science, in: Decision Making and Performance Evaluation Using Data Envelopment Analysis, chapter 0, pages 107-134, Springer.
    11. Zhou, Yizhou & Wei, Zhinong & Sun, Guoqiang & Cheung, Kwok W. & Zang, Haixiang & Chen, Sheng, 2018. "A robust optimization approach for integrated community energy system in energy and ancillary service markets," Energy, Elsevier, vol. 148(C), pages 1-15.
    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. Mashlakov, Aleksei & Pournaras, Evangelos & Nardelli, Pedro H.J. & Honkapuro, Samuli, 2021. "Decentralized cooperative scheduling of prosumer flexibility under forecast uncertainties," Applied Energy, Elsevier, vol. 290(C).
    2. Golpîra, Hêriş & Khan, Syed Abdul Rehman, 2019. "A multi-objective risk-based robust optimization approach to energy management in smart residential buildings under combined demand and supply uncertainty," Energy, Elsevier, vol. 170(C), pages 1113-1129.
    3. Mak, Davye & Choi, Dae-Hyun, 2020. "Optimization framework for coordinated operation of home energy management system and Volt-VAR optimization in unbalanced active distribution networks considering uncertainties," Applied Energy, Elsevier, vol. 276(C).
    4. Iria, José & Scott, Paul & Attarha, Ahmad & Gordon, Dan & Franklin, Evan, 2022. "MV-LV network-secure bidding optimisation of an aggregator of prosumers in real-time energy and reserve markets," Energy, Elsevier, vol. 242(C).
    5. Ishizaki, Takayuki & Koike, Masakazu & Yamaguchi, Nobuyuki & Ueda, Yuzuru & Imura, Jun-ichi, 2020. "Day-ahead energy market as adjustable robust optimization: Spatio-temporal pricing of dispatchable generators, storage batteries, and uncertain renewable resources," Energy Economics, Elsevier, vol. 91(C).
    6. Nizami, M.S.H. & Haque, A.N.M.M. & Nguyen, P.H. & Hossain, M.J., 2019. "On the application of Home Energy Management Systems for power grid support," Energy, Elsevier, vol. 188(C).
    7. Okur, Özge & Heijnen, Petra & Lukszo, Zofia, 2021. "Aggregator’s business models in residential and service sectors: A review of operational and financial aspects," Renewable and Sustainable Energy Reviews, Elsevier, vol. 139(C).
    8. Wu, Di & Ma, Xu & Balducci, Patrick & Bhatnagar, Dhruv, 2021. "An economic assessment of behind-the-meter photovoltaics paired with batteries on the Hawaiian Islands," Applied Energy, Elsevier, vol. 286(C).
    9. Crespo-Vazquez, Jose L. & Carrillo, C. & Diaz-Dorado, E. & Martinez-Lorenzo, Jose A. & Noor-E-Alam, Md., 2018. "A machine learning based stochastic optimization framework for a wind and storage power plant participating in energy pool market," Applied Energy, Elsevier, vol. 232(C), pages 341-357.
    10. Alexandra Lüth & Jens Weibezahn & Jan Martin Zepter, 2020. "On Distributional Effects in Local Electricity Market Designs—Evidence from a German Case Study," Energies, MDPI, vol. 13(8), pages 1-26, April.
    11. Sinsel, Simon R. & Yan, Xuqian & Stephan, Annegret, 2019. "Building resilient renewable power generation portfolios: The impact of diversification on investors’ risk and return," Applied Energy, Elsevier, vol. 254(C).
    12. Pan, Guangsheng & Gu, Wei & Wu, Zhi & Lu, Yuping & Lu, Shuai, 2019. "Optimal design and operation of multi-energy system with load aggregator considering nodal energy prices," Applied Energy, Elsevier, vol. 239(C), pages 280-295.
    13. Carlos Adrian Correa-Florez & Andrea Michiorri & Georges Kariniotakis, 2019. "Comparative Analysis of Adjustable Robust Optimization Alternatives for the Participation of Aggregated Residential Prosumers in Electricity Markets," Energies, MDPI, vol. 12(6), pages 1-27, March.
    14. Wang, Jidong & Liu, Jianxin & Li, Chenghao & Zhou, Yue & Wu, Jianzhong, 2020. "Optimal scheduling of gas and electricity consumption in a smart home with a hybrid gas boiler and electric heating system," Energy, Elsevier, vol. 204(C).
    15. Shen, Feifei & Zhao, Liang & Du, Wenli & Zhong, Weimin & Qian, Feng, 2020. "Large-scale industrial energy systems optimization under uncertainty: A data-driven robust optimization approach," Applied Energy, Elsevier, vol. 259(C).
    16. Alexis Gerossier & Robin Girard & Alexis Bocquet & George Kariniotakis, 2018. "Robust Day-Ahead Forecasting of Household Electricity Demand and Operational Challenges," Energies, MDPI, vol. 11(12), pages 1-18, December.
    17. Pied, Marie & Anjos, Miguel F. & Malhamé, Roland P., 2020. "A flexibility product for electric water heater aggregators on electricity markets," Applied Energy, Elsevier, vol. 280(C).
    18. Qi, Ning & Cheng, Lin & Xu, Helin & Wu, Kuihua & Li, XuLiang & Wang, Yanshuo & Liu, Rui, 2020. "Smart meter data-driven evaluation of operational demand response potential of residential air conditioning loads," Applied Energy, Elsevier, vol. 279(C).
    19. Faqiry, M. Nazif & Edmonds, Lawryn & Wu, Hongyu & Pahwa, Anil, 2020. "Distribution locational marginal price-based transactive day-ahead market with variable renewable generation," Applied Energy, Elsevier, vol. 259(C).

    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. Carlos Adrian Correa-Florez & Andrea Michiorri & Georges Kariniotakis, 2019. "Comparative Analysis of Adjustable Robust Optimization Alternatives for the Participation of Aggregated Residential Prosumers in Electricity Markets," Energies, MDPI, vol. 12(6), pages 1-27, March.
    2. Correa-Florez, Carlos Adrian & Gerossier, Alexis & Michiorri, Andrea & Kariniotakis, Georges, 2018. "Stochastic operation of home energy management systems including battery cycling," Applied Energy, Elsevier, vol. 225(C), pages 1205-1218.
    3. Zhang, Bingying & Li, Qiqiang & Wang, Luhao & Feng, Wei, 2018. "Robust optimization for energy transactions in multi-microgrids under uncertainty," Applied Energy, Elsevier, vol. 217(C), pages 346-360.
    4. Wang, Yuwei & Tang, Liu & Yang, Yuanjuan & Sun, Wei & Zhao, Huiru, 2020. "A stochastic-robust coordinated optimization model for CCHP micro-grid considering multi-energy operation and power trading with electricity markets under uncertainties," Energy, Elsevier, vol. 198(C).
    5. Ju, Liwei & Zhao, Rui & Tan, Qinliang & Lu, Yan & Tan, Qingkun & Wang, Wei, 2019. "A multi-objective robust scheduling model and solution algorithm for a novel virtual power plant connected with power-to-gas and gas storage tank considering uncertainty and demand response," Applied Energy, Elsevier, vol. 250(C), pages 1336-1355.
    6. Yongli Wang & Haiyang Yu & Mingyue Yong & Yujing Huang & Fuli Zhang & Xiaohai Wang, 2018. "Optimal Scheduling of Integrated Energy Systems with Combined Heat and Power Generation, Photovoltaic and Energy Storage Considering Battery Lifetime Loss," Energies, MDPI, vol. 11(7), pages 1-21, June.
    7. Kumar, Abhishek & Meena, Nand K. & Singh, Arvind R. & Deng, Yan & He, Xiangning & Bansal, R.C. & Kumar, Praveen, 2019. "Strategic integration of battery energy storage systems with the provision of distributed ancillary services in active distribution systems," Applied Energy, Elsevier, vol. 253(C), pages 1-1.
    8. Fontenot, Hannah & Dong, Bing, 2019. "Modeling and control of building-integrated microgrids for optimal energy management – A review," Applied Energy, Elsevier, vol. 254(C).
    9. Yuwei Wang & Yuanjuan Yang & Liu Tang & Wei Sun & Huiru Zhao, 2019. "A Stochastic-CVaR Optimization Model for CCHP Micro-Grid Operation with Consideration of Electricity Market, Wind Power Accommodation and Multiple Demand Response Programs," Energies, MDPI, vol. 12(20), pages 1-33, October.
    10. Koubaa, Rayhane & Bacha, Seddik & Smaoui, Mariem & krichen, Lotfi, 2020. "Robust optimization based energy management of a fuel cell/ultra-capacitor hybrid electric vehicle under uncertainty," Energy, Elsevier, vol. 200(C).
    11. Àlex Alonso-Travesset & Helena Martín & Sergio Coronas & Jordi de la Hoz, 2022. "Optimization Models under Uncertainty in Distributed Generation Systems: A Review," Energies, MDPI, vol. 15(5), pages 1-40, March.
    12. Wang, Yongli & Wang, Yudong & Huang, Yujing & Yang, Jiale & Ma, Yuze & Yu, Haiyang & Zeng, Ming & Zhang, Fuwei & Zhang, Yanfu, 2019. "Operation optimization of regional integrated energy system based on the modeling of electricity-thermal-natural gas network," Applied Energy, Elsevier, vol. 251(C), pages 1-1.
    13. Akhtar Hussain & Van-Hai Bui & Hak-Man Kim, 2016. "Robust Optimization-Based Scheduling of Multi-Microgrids Considering Uncertainties," Energies, MDPI, vol. 9(4), pages 1-21, April.
    14. Wang, Yongli & Li, Jiapu & Wang, Shuo & Yang, Jiale & Qi, Chengyuan & Guo, Hongzhen & Liu, Ximei & Zhang, Hongqing, 2020. "Operational optimization of wastewater reuse integrated energy system," Energy, Elsevier, vol. 200(C).
    15. Yuhong Shuai & Liming Yao, 2021. "Adjustable Robust Optimization for Multi-Period Water Allocation in Droughts Under Uncertainty," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 35(12), pages 4043-4065, September.
    16. Yinhe Bu & Xingping Zhang, 2021. "On the Way to Integrate Increasing Shares of Variable Renewables in China: Experience from Flexibility Modification and Deep Peak Regulation Ancillary Service Market Based on MILP-UC Programming," Sustainability, MDPI, vol. 13(5), pages 1-22, February.
    17. Jia, Kunqi & Guo, Ge & Xiao, Jucheng & Zhou, Huan & Wang, Zhihua & He, Guangyu, 2019. "Data compression approach for the home energy management system," Applied Energy, Elsevier, vol. 247(C), pages 643-656.
    18. Ahmad Khan, Aftab & Naeem, Muhammad & Iqbal, Muhammad & Qaisar, Saad & Anpalagan, Alagan, 2016. "A compendium of optimization objectives, constraints, tools and algorithms for energy management in microgrids," Renewable and Sustainable Energy Reviews, Elsevier, vol. 58(C), pages 1664-1683.
    19. Chen, Cong & Sun, Hongbin & Shen, Xinwei & Guo, Ye & Guo, Qinglai & Xia, Tian, 2019. "Two-stage robust planning-operation co-optimization of energy hub considering precise energy storage economic model," Applied Energy, Elsevier, vol. 252(C), pages 1-1.
    20. Hu, Qian & Zhu, Ziqing & Bu, Siqi & Wing Chan, Ka & Li, Fangxing, 2021. "A multi-market nanogrid P2P energy and ancillary service trading paradigm: Mechanisms and implementations," Applied Energy, Elsevier, vol. 293(C).

    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:appene:v:229:y:2018:i:c:p:433-445. 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/405891/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.