IDEAS home Printed from https://ideas.repec.org/a/eee/energy/v165y2018ipbp651-661.html
   My bibliography  Save this article

Benefits of a multi-energy day-ahead market

Author

Listed:
  • van Stiphout, Arne
  • Virag, Ana
  • Kessels, Kris
  • Deconinck, Geert

Abstract

Energy system integration can bring several benefits to energy systems, notably to those that are in transition to high shares of renewable energy. Strategies are needed to realize the theoretical benefits of this approach in practice. Therefore, this paper proposes the organization and mathematical formulation of a multi-carrier day-ahead market in which electricity, gas and heat are traded simultaneously. This market set-up is applied to a conceptual test case to identify how - compared to a reference set-up mimicking the current practice - the multi-carrier market is able to unlock the benefits of energy system integration. It is quantitatively shown that the multi-carrier market (1) eliminates the need for forecasts of prices on subsequent markets and the consequences of the related errors, (2) allows to use the flexibility available in one carrier to facilitate the balancing in another, e.g. using the flexibility of a heat system to help balance the electricity system, and (3) enables specific market outcomes, unachievable in a sequential set-up, which increase the optimality of the market outcome.

Suggested Citation

  • van Stiphout, Arne & Virag, Ana & Kessels, Kris & Deconinck, Geert, 2018. "Benefits of a multi-energy day-ahead market," Energy, Elsevier, vol. 165(PB), pages 651-661.
    • Handle: RePEc:eee:energy:v:165:y:2018:i:pb:p:651-661
    DOI: 10.1016/j.energy.2018.09.107
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0360544218318711
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.energy.2018.09.107?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. Koeppel, Gaudenz & Andersson, Göran, 2009. "Reliability modeling of multi-carrier energy systems," Energy, Elsevier, vol. 34(3), pages 235-244.
    2. Mancarella, Pierluigi, 2014. "MES (multi-energy systems): An overview of concepts and evaluation models," Energy, Elsevier, vol. 65(C), pages 1-17.
    3. Chicco, Gianfranco & Mancarella, Pierluigi, 2008. "Assessment of the greenhouse gas emissions from cogeneration and trigeneration systems. Part I: Models and indicators," Energy, Elsevier, vol. 33(3), pages 410-417.
    4. Capuder, Tomislav & Mancarella, Pierluigi, 2014. "Techno-economic and environmental modelling and optimization of flexible distributed multi-generation options," Energy, Elsevier, vol. 71(C), pages 516-533.
    5. Holjevac, Ninoslav & Capuder, Tomislav & Zhang, Ning & Kuzle, Igor & Kang, Chongqing, 2017. "Corrective receding horizon scheduling of flexible distributed multi-energy microgrids," Applied Energy, Elsevier, vol. 207(C), pages 176-194.
    6. Martínez Ceseña, Eduardo A. & Good, Nicholas & Syrri, Angeliki L.A. & Mancarella, Pierluigi, 2018. "Techno-economic and business case assessment of multi-energy microgrids with co-optimization of energy, reserve and reliability services," Applied Energy, Elsevier, vol. 210(C), pages 896-913.
    7. Qadrdan, Meysam & Chaudry, Modassar & Wu, Jianzhong & Jenkins, Nick & Ekanayake, Janaka, 2010. "Impact of a large penetration of wind generation on the GB gas network," Energy Policy, Elsevier, vol. 38(10), pages 5684-5695, October.
    8. Shariatkhah, Mohammad-Hossein & Haghifam, Mahmoud-Reza & Chicco, Gianfranco & Parsa-Moghaddam, Mohsen, 2016. "Adequacy modeling and evaluation of multi-carrier energy systems to supply energy services from different infrastructures," Energy, Elsevier, vol. 109(C), pages 1095-1106.
    9. Dominković, D.F. & Bačeković, I. & Sveinbjörnsson, D. & Pedersen, A.S. & Krajačić, G., 2017. "On the way towards smart energy supply in cities: The impact of interconnecting geographically distributed district heating grids on the energy system," Energy, Elsevier, vol. 137(C), pages 941-960.
    10. Heinen, Steve & Burke, Daniel & O'Malley, Mark, 2016. "Electricity, gas, heat integration via residential hybrid heating technologies – An investment model assessment," Energy, Elsevier, vol. 109(C), pages 906-919.
    11. Niemi, R. & Mikkola, J. & Lund, P.D., 2012. "Urban energy systems with smart multi-carrier energy networks and renewable energy generation," Renewable Energy, Elsevier, vol. 48(C), pages 524-536.
    12. Chaudry, Modassar & Wu, Jianzhong & Jenkins, Nick, 2013. "A sequential Monte Carlo model of the combined GB gas and electricity network," Energy Policy, Elsevier, vol. 62(C), pages 473-483.
    13. Mancarella, Pierluigi & Chicco, Gianfranco, 2008. "Assessment of the greenhouse gas emissions from cogeneration and trigeneration systems. Part II: Analysis techniques and application cases," Energy, Elsevier, vol. 33(3), pages 418-430.
    14. Moghaddam, Iman Gerami & Saniei, Mohsen & Mashhour, Elaheh, 2016. "A comprehensive model for self-scheduling an energy hub to supply cooling, heating and electrical demands of a building," Energy, Elsevier, vol. 94(C), pages 157-170.
    15. Xu, Xiandong & Jin, Xiaolong & Jia, Hongjie & Yu, Xiaodan & Li, Kang, 2015. "Hierarchical management for integrated community energy systems," Applied Energy, Elsevier, vol. 160(C), pages 231-243.
    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. Shariat Torbaghan, Shahab & Madani, Mehdi & Sels, Peter & Virag, Ana & Le Cadre, Hélène & Kessels, Kris & Mou, Yuting, 2021. "Designing day-ahead multi-carrier markets for flexibility: Models and clearing algorithms," Applied Energy, Elsevier, vol. 285(C).
    2. Silva-Rodriguez, Lina & Sanjab, Anibal & Fumagalli, Elena & Virag, Ana & Gibescu, Madeleine, 2022. "Short term wholesale electricity market designs: A review of identified challenges and promising solutions," Renewable and Sustainable Energy Reviews, Elsevier, vol. 160(C).
    3. Lina Silva-Rodriguez & Anibal Sanjab & Elena Fumagalli & Ana Virag & Madeleine Gibescu, 2020. "Short Term Electricity Market Designs: Identified Challenges and Promising Solutions," Papers 2011.04587, arXiv.org.
    4. Paiho, Satu & Kiljander, Jussi & Sarala, Roope & Siikavirta, Hanne & Kilkki, Olli & Bajpai, Arpit & Duchon, Markus & Pahl, Marc-Oliver & Wüstrich, Lars & Lübben, Christian & Kirdan, Erkin & Schindler,, 2021. "Towards cross-commodity energy-sharing communities – A review of the market, regulatory, and technical situation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 151(C).
    5. Sorknæs, P. & Lund, Henrik & Skov, I.R. & Djørup, S. & Skytte, K. & Morthorst, P.E. & Fausto, F., 2020. "Smart Energy Markets - Future electricity, gas and heating markets," Renewable and Sustainable Energy Reviews, Elsevier, vol. 119(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. Wang, Sheng & Shao, Changzheng & Ding, Yi & Yan, Jinyue, 2019. "Operational reliability of multi-energy customers considering service-based self-scheduling," Applied Energy, Elsevier, vol. 254(C).
    2. Dominković, D.F. & Bačeković, I. & Sveinbjörnsson, D. & Pedersen, A.S. & Krajačić, G., 2017. "On the way towards smart energy supply in cities: The impact of interconnecting geographically distributed district heating grids on the energy system," Energy, Elsevier, vol. 137(C), pages 941-960.
    3. Østergaard, P.A. & Lund, H. & Thellufsen, J.Z. & Sorknæs, P. & Mathiesen, B.V., 2022. "Review and validation of EnergyPLAN," Renewable and Sustainable Energy Reviews, Elsevier, vol. 168(C).
    4. Matija Kostelac & Lin Herenčić & Tomislav Capuder, 2022. "Planning and Operational Aspects of Individual and Clustered Multi-Energy Microgrid Options," Energies, MDPI, vol. 15(4), pages 1-17, February.
    5. Mohammadi, Mohammad & Noorollahi, Younes & Mohammadi-ivatloo, Behnam & Yousefi, Hossein, 2017. "Energy hub: From a model to a concept – A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 80(C), pages 1512-1527.
    6. Wang, Yi & Cheng, Jiangnan & Zhang, Ning & Kang, Chongqing, 2018. "Automatic and linearized modeling of energy hub and its flexibility analysis," Applied Energy, Elsevier, vol. 211(C), pages 705-714.
    7. Daniel Scamman & Baltazar Solano-Rodríguez & Steve Pye & Lai Fong Chiu & Andrew Z. P. Smith & Tiziano Gallo Cassarino & Mark Barrett & Robert Lowe, 2020. "Heat Decarbonisation Modelling Approaches in the UK: An Energy System Architecture Perspective," Energies, MDPI, vol. 13(8), pages 1-28, April.
    8. Zhou, Yutian & Panteli, Mathaios & Moreno, Rodrigo & Mancarella, Pierluigi, 2018. "System-level assessment of reliability and resilience provision from microgrids," Applied Energy, Elsevier, vol. 230(C), pages 374-392.
    9. Xiaoming Zhou & Maosheng Sang & Minglei Bao & Yi Ding, 2022. "Tracing and Evaluating Life-Cycle Carbon Emissions of Urban Multi-Energy Systems," Energies, MDPI, vol. 15(8), pages 1-19, April.
    10. Wang, Rutian & Wen, Xiangyun & Wang, Xiuyun & Fu, Yanbo & Zhang, Yu, 2022. "Low carbon optimal operation of integrated energy system based on carbon capture technology, LCA carbon emissions and ladder-type carbon trading," Applied Energy, Elsevier, vol. 311(C).
    11. Mancarella, Pierluigi & Chicco, Gianfranco & Capuder, Tomislav, 2018. "Arbitrage opportunities for distributed multi-energy systems in providing power system ancillary services," Energy, Elsevier, vol. 161(C), pages 381-395.
    12. Simeoni, Patrizia & Nardin, Gioacchino & Ciotti, Gellio, 2018. "Planning and design of sustainable smart multi energy systems. The case of a food industrial district in Italy," Energy, Elsevier, vol. 163(C), pages 443-456.
    13. Hosseini, Seyed Hamid Reza & Allahham, Adib & Walker, Sara Louise & Taylor, Phil, 2020. "Optimal planning and operation of multi-vector energy networks: A systematic review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 133(C).
    14. Chi, Lixun & Su, Huai & Zio, Enrico & Zhang, Jinjun & Li, Xueyi & Zhang, Li & Fan, Lin & Zhou, Jing & Bai, Hua, 2020. "Integrated Deterministic and Probabilistic Safety Analysis of Integrated Energy Systems with bi-directional conversion," Energy, Elsevier, vol. 212(C).
    15. Ismail, M.S. & Moghavvemi, M. & Mahlia, T.M.I., 2013. "Energy trends in Palestinian territories of West Bank and Gaza Strip: Possibilities for reducing the reliance on external energy sources," Renewable and Sustainable Energy Reviews, Elsevier, vol. 28(C), pages 117-129.
    16. Daniel Cardoso & Daniel Nunes & João Faria & Paulo Fael & Pedro D. Gaspar, 2023. "Intelligent Micro-Cogeneration Systems for Residential Grids: A Sustainable Solution for Efficient Energy Management," Energies, MDPI, vol. 16(13), pages 1-21, July.
    17. Maroufmashat, Azadeh & Elkamel, Ali & Fowler, Michael & Sattari, Sourena & Roshandel, Ramin & Hajimiragha, Amir & Walker, Sean & Entchev, Evgueniy, 2015. "Modeling and optimization of a network of energy hubs to improve economic and emission considerations," Energy, Elsevier, vol. 93(P2), pages 2546-2558.
    18. Jiang-Jiang, Wang & Chun-Fa, Zhang & You-Yin, Jing, 2010. "Multi-criteria analysis of combined cooling, heating and power systems in different climate zones in China," Applied Energy, Elsevier, vol. 87(4), pages 1247-1259, April.
    19. Luigi Maffei & Antonio Ciervo & Achille Perrotta & Massimiliano Masullo & Antonio Rosato, 2023. "Innovative Energy-Efficient Prefabricated Movable Buildings for Smart/Co-Working: Performance Assessment upon Varying Building Configurations," Sustainability, MDPI, vol. 15(12), pages 1-37, June.
    20. Garmabdari, R. & Moghimi, M. & Yang, F. & Lu, J., 2020. "Multi-objective optimisation and planning of grid-connected cogeneration systems in presence of grid power fluctuations and energy storage dynamics," Energy, Elsevier, vol. 212(C).

    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:165:y:2018:i:pb:p:651-661. 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.