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A Framework for Offering Short-Term Demand-Side Flexibility to a Flexibility Marketplace

Author

Listed:
  • Stig Ødegaard Ottesen

    (eSmart Systems AS and Smart Innovation Norway, 1783 Halden, Norway)

  • Martin Haug

    (Faculty of Science and Technology, Norwegian University of Life Sciences (NMBU), 1432 Ås, Norway)

  • Heidi S. Nygård

    (Faculty of Science and Technology, Norwegian University of Life Sciences (NMBU), 1432 Ås, Norway)

Abstract

The decarbonization of the power sector involves electrification and a massive deployment of variable renewable energy sources, leading to an increase of local transmission congestion and ramping challenges. A possible solution to secure grid stability is local flexibility markets, in which prosumers can offer demand-side flexibility to the distribution system operator or other flexibility buyers through an aggregator. The purpose of this study was to develop a framework for estimating and offering short-term demand-side flexibility to a flexibility marketplace, with the main focus being baseline estimation and bid generation. The baseline is estimated based on forecasts that have been corrected for effects from earlier flexibility activations and potential planned use of internal flexibility. Available flexibility volumes are then estimated based on the baseline, physical properties of the flexibility asset and agreed constraints for baseline deviation. The estimated available flexibility is further formatted into a bid that may be offered to a flexibility marketplace, where buyers can buy and activate the offered flexibility, in whole or by parts. To illustrate and verify the proposed methodology, it was applied to a grocery warehouse. Based on real flexibility constraints, historic meter values, and forecasts for this use-case, we simulated a process where the flexibility is offered to a hypothetic flexibility marketplace through an aggregator.

Suggested Citation

  • Stig Ødegaard Ottesen & Martin Haug & Heidi S. Nygård, 2020. "A Framework for Offering Short-Term Demand-Side Flexibility to a Flexibility Marketplace," Energies, MDPI, vol. 13(14), pages 1-17, July.
    • Handle: RePEc:gam:jeners:v:13:y:2020:i:14:p:3612-:d:384069
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    References listed on IDEAS

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    Cited by:

    1. Nayeem Rahman & Rodrigo Rabetino & Arto Rajala & Jukka Partanen, 2021. "Ushering in a New Dawn: Demand-Side Local Flexibility Platform Governance and Design in the Finnish Energy Markets," Energies, MDPI, vol. 14(15), pages 1-23, July.

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