IDEAS home Printed from https://ideas.repec.org/a/eee/energy/v117y2016ip1p1-9.html
   My bibliography  Save this article

A novel two-stage stochastic programming model for uncertainty characterization in short-term optimal strategy for a distribution company

Author

Listed:
  • Ahmadi, Abdollah
  • Charwand, Mansour
  • Siano, Pierluigi
  • Nezhad, Ali Esmaeel
  • Sarno, Debora
  • Gitizadeh, Mohsen
  • Raeisi, Fatima

Abstract

In order to supply the demands of the end users in a competitive market, a distribution company purchases energy from the wholesale market while other options would be in access in the case of possessing distributed generation units and interruptible loads. In this regard, this study presents a two-stage stochastic programming model for a distribution company energy acquisition market model to manage the involvement of different electric energy resources characterized by uncertainties with the minimum cost. In particular, the distribution company operations planning over a day-ahead horizon is modeled as a stochastic mathematical optimization, with the objective of minimizing costs. By this, distribution company decisions on grid purchase, owned distributed generation units and interruptible load scheduling are determined. Then, these decisions are considered as boundary constraints to a second step, which deals with distribution company's operations in the hour-ahead market with the objective of minimizing the short-term cost. The uncertainties in spot market prices and wind speed are modeled by means of probability distribution functions of their forecast errors and the roulette wheel mechanism and lattice Monte Carlo simulation are used to generate scenarios. Numerical results show the capability of the proposed method.

Suggested Citation

  • Ahmadi, Abdollah & Charwand, Mansour & Siano, Pierluigi & Nezhad, Ali Esmaeel & Sarno, Debora & Gitizadeh, Mohsen & Raeisi, Fatima, 2016. "A novel two-stage stochastic programming model for uncertainty characterization in short-term optimal strategy for a distribution company," Energy, Elsevier, vol. 117(P1), pages 1-9.
    • Handle: RePEc:eee:energy:v:117:y:2016:i:p1:p:1-9
    DOI: 10.1016/j.energy.2016.10.067
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0360544216315018
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.energy.2016.10.067?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. Karami, M. & Shayanfar, H.A. & Aghaei, J. & Ahmadi, A., 2013. "Scenario-based security-constrained hydrothermal coordination with volatile wind power generation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 28(C), pages 726-737.
    2. Doostizadeh, Meysam & Ghasemi, Hassan, 2012. "A day-ahead electricity pricing model based on smart metering and demand-side management," Energy, Elsevier, vol. 46(1), pages 221-230.
    3. Ghadikolaei, Hadi Moghimi & Tajik, Elham & Aghaei, Jamshid & Charwand, Mansour, 2012. "Integrated day-ahead and hour-ahead operation model of discos in retail electricity markets considering DGs and CO2 emission penalty cost," Applied Energy, Elsevier, vol. 95(C), pages 174-185.
    4. Moghimi Ghadikolaei, Hadi & Ahmadi, Abdollah & Aghaei, Jamshid & Najafi, Meysam, 2012. "Risk constrained self-scheduling of hydro/wind units for short term electricity markets considering intermittency and uncertainty," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(7), pages 4734-4743.
    5. Ghasemi, Ahmad & Mortazavi, Seyed Saeidollah & Mashhour, Elaheh, 2015. "Integration of nodal hourly pricing in day-ahead SDC (smart distribution company) optimization framework to effectively activate demand response," Energy, Elsevier, vol. 86(C), pages 649-660.
    6. Sultana, U. & Khairuddin, Azhar B. & Mokhtar, A.S. & Zareen, N. & Sultana, Beenish, 2016. "Grey wolf optimizer based placement and sizing of multiple distributed generation in the distribution system," Energy, Elsevier, vol. 111(C), pages 525-536.
    7. Zeng, Bo & Wen, Junqiang & Shi, Jinyue & Zhang, Jianhua & Zhang, Yuying, 2016. "A multi-level approach to active distribution system planning for efficient renewable energy harvesting in a deregulated environment," Energy, Elsevier, vol. 96(C), pages 614-624.
    8. Sfetsos, A., 2000. "A comparison of various forecasting techniques applied to mean hourly wind speed time series," Renewable Energy, Elsevier, vol. 21(1), pages 23-35.
    9. Rafal Weron, 2006. "Modeling and Forecasting Electricity Loads and Prices: A Statistical Approach," HSC Books, Hugo Steinhaus Center, Wroclaw University of Technology, number hsbook0601.
    10. Ahmadigorji, Masoud & Amjady, Nima, 2016. "A multiyear DG-incorporated framework for expansion planning of distribution networks using binary chaotic shark smell optimization algorithm," Energy, Elsevier, vol. 102(C), pages 199-215.
    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. Fu, D.Z. & Zheng, Z.Y. & Shi, H.B. & Xiao, Rui & Huang, G.H. & Li, Y.P., 2017. "A multi-fuel management model for a community-level district heating system under multiple uncertainties," Energy, Elsevier, vol. 128(C), pages 337-356.
    2. Al-Swaiti, Mustafa S. & Al-Awami, Ali T. & Khalid, Mohammad Waqas, 2017. "Co-optimized trading of wind-thermal-pumped storage system in energy and regulation markets," Energy, Elsevier, vol. 138(C), pages 991-1005.
    3. Dadashi, Mojtaba & Haghifam, Sara & Zare, Kazem & Haghifam, Mahmoud-Reza & Abapour, Mehdi, 2020. "Short-term scheduling of electricity retailers in the presence of Demand Response Aggregators: A two-stage stochastic Bi-Level programming approach," Energy, Elsevier, vol. 205(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. Monfared, Houman Jamshidi & Ghasemi, Ahmad & Loni, Abdolah & Marzband, Mousa, 2019. "A hybrid price-based demand response program for the residential micro-grid," Energy, Elsevier, vol. 185(C), pages 274-285.
    2. Hossain, Md Maruf & Ali, Mohd. Hasan, 2015. "Future research directions for the wind turbine generator system," Renewable and Sustainable Energy Reviews, Elsevier, vol. 49(C), pages 481-489.
    3. Moradijoz, M. & Moghaddam, M. Parsa & Haghifam, M.R., 2018. "A flexible active distribution system expansion planning model: A risk-based approach," Energy, Elsevier, vol. 145(C), pages 442-457.
    4. Nowotarski, Jakub & Weron, Rafał, 2018. "Recent advances in electricity price forecasting: A review of probabilistic forecasting," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P1), pages 1548-1568.
    5. Monadi, Mehdi & Zamani, M. Amin & Koch-Ciobotaru, Cosmin & Candela, Jose Ignacio & Rodriguez, Pedro, 2016. "A communication-assisted protection scheme for direct-current distribution networks," Energy, Elsevier, vol. 109(C), pages 578-591.
    6. Woo, C.K. & Li, R. & Shiu, A. & Horowitz, I., 2013. "Residential winter kWh responsiveness under optional time-varying pricing in British Columbia," Applied Energy, Elsevier, vol. 108(C), pages 288-297.
    7. Deng, Tingting & Yan, Wenzhou & Nojavan, Sayyad & Jermsittiparsert, Kittisak, 2020. "Risk evaluation and retail electricity pricing using downside risk constraints method," Energy, Elsevier, vol. 192(C).
    8. Khan, Komal S. & Tariq, Muhammad, 2018. "Wind resource assessment using SODAR and meteorological mast – A case study of Pakistan," Renewable and Sustainable Energy Reviews, Elsevier, vol. 81(P2), pages 2443-2449.
    9. Margaret Amutha, W. & Rajini, V., 2015. "Techno-economic evaluation of various hybrid power systems for rural telecom," Renewable and Sustainable Energy Reviews, Elsevier, vol. 43(C), pages 553-561.
    10. Esmaeily, Ali & Ahmadi, Abdollah & Raeisi, Fatima & Ahmadi, Mohammad Reza & Esmaeel Nezhad, Ali & Janghorbani, Mohammadreza, 2017. "Evaluating the effectiveness of mixed-integer linear programming for day-ahead hydro-thermal self-scheduling considering price uncertainty and forced outage rate," Energy, Elsevier, vol. 122(C), pages 182-193.
    11. Ghasemi, Ahmad & Mortazavi, Seyed Saeidollah & Mashhour, Elaheh, 2016. "Hourly demand response and battery energy storage for imbalance reduction of smart distribution company embedded with electric vehicles and wind farms," Renewable Energy, Elsevier, vol. 85(C), pages 124-136.
    12. Alasseri, Rajeev & Tripathi, Ashish & Joji Rao, T. & Sreekanth, K.J., 2017. "A review on implementation strategies for demand side management (DSM) in Kuwait through incentive-based demand response programs," Renewable and Sustainable Energy Reviews, Elsevier, vol. 77(C), pages 617-635.
    13. Nosratabadi, Seyyed Mostafa & Hooshmand, Rahmat-Allah & Gholipour, Eskandar, 2017. "A comprehensive review on microgrid and virtual power plant concepts employed for distributed energy resources scheduling in power systems," Renewable and Sustainable Energy Reviews, Elsevier, vol. 67(C), pages 341-363.
    14. Rastgou, Abdollah & Moshtagh, Jamal & Bahramara, Salah, 2018. "Improved harmony search algorithm for electrical distribution network expansion planning in the presence of distributed generators," Energy, Elsevier, vol. 151(C), pages 178-202.
    15. Sarimuthu, Charles R. & Ramachandaramurthy, Vigna K. & Agileswari, K.R. & Mokhlis, Hazlie, 2016. "A review on voltage control methods using on-load tap changer transformers for networks with renewable energy sources," Renewable and Sustainable Energy Reviews, Elsevier, vol. 62(C), pages 1154-1161.
    16. Sung Chan Park & Young Gyu Jin & Yong Tae Yoon, 2015. "Designing a Profit-Maximizing Critical Peak Pricing Scheme Considering the Payback Phenomenon," Energies, MDPI, vol. 8(10), pages 1-17, October.
    17. Mazidi, Mohammadreza & Monsef, Hassan & Siano, Pierluigi, 2016. "Design of a risk-averse decision making tool for smart distribution network operators under severe uncertainties: An IGDT-inspired augment ε-constraint based multi-objective approach," Energy, Elsevier, vol. 116(P1), pages 214-235.
    18. Ghasemi, Ahmad & Mortazavi, Seyed Saeidollah & Mashhour, Elaheh, 2015. "Integration of nodal hourly pricing in day-ahead SDC (smart distribution company) optimization framework to effectively activate demand response," Energy, Elsevier, vol. 86(C), pages 649-660.
    19. Davatgaran, Vahid & Saniei, Mohsen & Mortazavi, Seyed Saeidollah, 2019. "Smart distribution system management considering electrical and thermal demand response of energy hubs," Energy, Elsevier, vol. 169(C), pages 38-49.
    20. Surroop, Dinesh & Raghoo, Pravesh, 2017. "Energy landscape in Mauritius," Renewable and Sustainable Energy Reviews, Elsevier, vol. 73(C), pages 688-694.

    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:energy:v:117:y:2016:i:p1:p:1-9. 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.journals.elsevier.com/energy .

    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.