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Evaluation of photovoltaic storage systems on energy markets under uncertainty using stochastic dynamic programming

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  • Keles, Dogan
  • Dehler-Holland, Joris

Abstract

The rising share of intermittent renewable energy production in energy systems increasingly poses a threat to system stability and the price level in energy markets. However, the effects of renewable energy production onto electricity markets also give rise to new business opportunities. The expected increase in price differences increases the market potential for storage applications and combinations with renewable energy production. The value of storage depends critically on the operation of the storage system.

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  • Keles, Dogan & Dehler-Holland, Joris, 2022. "Evaluation of photovoltaic storage systems on energy markets under uncertainty using stochastic dynamic programming," Energy Economics, Elsevier, vol. 106(C).
    • Handle: RePEc:eee:eneeco:v:106:y:2022:i:c:s0140988321006356
    DOI: 10.1016/j.eneco.2021.105800
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    Cited by:

    1. Oliveira, Fernando S. & Ruiz Mora, Carlos, 2023. "Risk management in solar-based power plants with storage: a comparative study," DES - Working Papers. Statistics and Econometrics. WS 38369, Universidad Carlos III de Madrid. Departamento de Estadística.

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    More about this item

    Keywords

    PV storage; Energy markets; Markov decision process; ARMA process; Stochastic dynamic programming;
    All these keywords.

    JEL classification:

    • C02 - Mathematical and Quantitative Methods - - General - - - Mathematical Economics
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques
    • D47 - Microeconomics - - Market Structure, Pricing, and Design - - - Market Design
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General

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