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An aggregator-oriented hierarchical market mechanism for multi-type ancillary service provision based on the two-loop Stackelberg game

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  • Li, Jiamei
  • Ai, Qian
  • Yin, Shuangrui
  • Hao, Ran

Abstract

In order to utilize demand-side flexibility and meet system requirements, the aggregator (AGG) has become a vital role in the ancillary service market. To reflect the willingness of each market subject, a tri-layer ancillary service market framework for ancillary service market operator (ASMO), AGG, and users is proposed in this paper, which contains the interactions between different layers including ASMO and AGG, AGG and users. We develop a detailed market timeline that takes multi-type ancillary services into account. Moreover, due to the hierarchical market structure, we conduct a two-loop Stackelberg game to depict the effect of each market subject’s strategic behavior. Based on the game models of all the market subjects, the existence and uniqueness of the game equilibrium point are proved. In addition, considering the correlation between multi-type ancillary services, the clearing process is decomposed into two sub-problems and a distributed joint market clearing based on the particle swarm optimization algorithm is presented. Case study shows that the proposed method is profitable for all the market subjects, the market timeline is reasonable, and the joint clearing method is effective.

Suggested Citation

  • Li, Jiamei & Ai, Qian & Yin, Shuangrui & Hao, Ran, 2022. "An aggregator-oriented hierarchical market mechanism for multi-type ancillary service provision based on the two-loop Stackelberg game," Applied Energy, Elsevier, vol. 323(C).
    • Handle: RePEc:eee:appene:v:323:y:2022:i:c:s030626192200945x
    DOI: 10.1016/j.apenergy.2022.119644
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    References listed on IDEAS

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    Cited by:

    1. Li, Ke & Ye, Ning & Li, Shuzhen & Wang, Haiyang & Zhang, Chenghui, 2023. "Distributed collaborative operation strategies in multi-agent integrated energy system considering integrated demand response based on game theory," Energy, Elsevier, vol. 273(C).
    2. Li, Jiamei & Ai, Qian & Chen, Minyu, 2023. "Strategic behavior modeling and energy management for electric-thermal-carbon-natural gas integrated energy system considering ancillary service," Energy, Elsevier, vol. 278(C).

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