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On maximizing profit of wind-battery supported power station based on wind power and energy price forecasting

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  • Khalid, Muhammad
  • Aguilera, Ricardo P.
  • Savkin, Andrey V.
  • Agelidis, Vassilios G.

Abstract

This paper proposes a framework to develop an optimal power dispatch strategy for grid-connected wind power plants containing a Battery Energy Storage System (BESS). Considering the intermittent nature of wind power and rapidly varying electricity market price, short-term forecasting of these variables is used for efficient energy management. The predicted variability trends in market price assist in earning additional income which subsequently increase the operational profit. Then on the basis of income improvement, optimal capacity of the BESS can be determined. The proposed framework utilizes Dynamic Programming tool which can incorporate the predictions of both wind power and market price simultaneously as inputs in a receding horizon approach. The proposed strategy is validated using real electricity market price and wind power data in different scenarios of BESS power and capacity. The obtained results depict the effectiveness of the strategy to help power system operators in ensuring economically optimal energy dispatch. Moreover, the results can aid power system planners in the selection of optimal BESS capacity for given power ratings in order to maximize their operational profits.

Suggested Citation

  • Khalid, Muhammad & Aguilera, Ricardo P. & Savkin, Andrey V. & Agelidis, Vassilios G., 2018. "On maximizing profit of wind-battery supported power station based on wind power and energy price forecasting," Applied Energy, Elsevier, vol. 211(C), pages 764-773.
    • Handle: RePEc:eee:appene:v:211:y:2018:i:c:p:764-773
    DOI: 10.1016/j.apenergy.2017.11.061
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    6. Muhammad Khalid, 2019. "A Review on the Selected Applications of Battery-Supercapacitor Hybrid Energy Storage Systems for Microgrids," Energies, MDPI, vol. 12(23), pages 1-34, November.
    7. Ramin Sakipour & Hamdi Abdi, 2020. "Optimizing Battery Energy Storage System Data in the Presence of Wind Power Plants: A Comparative Study on Evolutionary Algorithms," Sustainability, MDPI, vol. 12(24), pages 1-21, December.
    8. Li, Yang & Vilathgamuwa, Mahinda & Choi, San Shing & Xiong, Binyu & Tang, Jinrui & Su, Yixin & Wang, Yu, 2020. "Design of minimum cost degradation-conscious lithium-ion battery energy storage system to achieve renewable power dispatchability," Applied Energy, Elsevier, vol. 260(C).
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    10. Loukatou, Angeliki & Johnson, Paul & Howell, Sydney & Duck, Peter, 2021. "Optimal valuation of wind energy projects co-located with battery storage," Applied Energy, Elsevier, vol. 283(C).
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    14. Faraci, Giuseppe & Raciti, Angelo & Rizzo, Santi Agatino & Schembra, Giovanni, 2020. "Green wireless power transfer system for a drone fleet managed by reinforcement learning in smart industry," Applied Energy, Elsevier, vol. 259(C).
    15. Ibrahim Alotaibi & Mohammed A. Abido & Muhammad Khalid & Andrey V. Savkin, 2020. "A Comprehensive Review of Recent Advances in Smart Grids: A Sustainable Future with Renewable Energy Resources," Energies, MDPI, vol. 13(23), pages 1-41, November.
    16. Díaz, Guzmán & Coto, José & Gómez-Aleixandre, Javier, 2019. "Optimal operation value of combined wind power and energy storage in multi-stage electricity markets," Applied Energy, Elsevier, vol. 235(C), pages 1153-1168.
    17. Xu, Xiao & Hu, Weihao & Cao, Di & Huang, Qi & Liu, Zhou & Liu, Wen & Chen, Zhe & Blaabjerg, Frede, 2020. "Scheduling of wind-battery hybrid system in the electricity market using distributionally robust optimization," Renewable Energy, Elsevier, vol. 156(C), pages 47-56.
    18. Miao Miao & Suhua Lou & Yuanxin Zhang & Xing Chen, 2021. "Research on the Optimized Operation of Hybrid Wind and Battery Energy Storage System Based on Peak-Valley Electricity Price," Energies, MDPI, vol. 14(12), pages 1-11, June.
    19. Wenhao Zhuo & Andrey V. Savkin & Ke Meng, 2019. "Decentralized Optimal Control of a Microgrid with Solar PV, BESS and Thermostatically Controlled Loads," Energies, MDPI, vol. 12(11), pages 1-15, June.
    20. Song, Ziyou & Feng, Shuo & Zhang, Lei & Hu, Zunyan & Hu, Xiaosong & Yao, Rui, 2019. "Economy analysis of second-life battery in wind power systems considering battery degradation in dynamic processes: Real case scenarios," Applied Energy, Elsevier, vol. 251(C), pages 1-1.
    21. Li, Yang & Vilathgamuwa, Mahinda & Choi, San Shing & Farrell, Troy W. & Tran, Ngoc Tham & Teague, Joseph, 2019. "Development of a degradation-conscious physics-based lithium-ion battery model for use in power system planning studies," Applied Energy, Elsevier, vol. 248(C), pages 512-525.
    22. Facci, Andrea L. & Ubertini, Stefano, 2018. "Analysis of a fuel cell combined heat and power plant under realistic smart management scenarios," Applied Energy, Elsevier, vol. 216(C), pages 60-72.
    23. Abdul Rauf & Mahmoud Kassas & Muhammad Khalid, 2022. "Data-Driven Optimal Battery Storage Sizing for Grid-Connected Hybrid Distributed Generations Considering Solar and Wind Uncertainty," Sustainability, MDPI, vol. 14(17), pages 1-27, September.
    24. Khaloie, Hooman & Abdollahi, Amir & Shafie-khah, Miadreza & Anvari-Moghaddam, Amjad & Nojavan, Sayyad & Siano, Pierluigi & Catalão, João P.S., 2020. "Coordinated wind-thermal-energy storage offering strategy in energy and spinning reserve markets using a multi-stage model," Applied Energy, Elsevier, vol. 259(C).

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