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Day-ahead optimal bidding and scheduling strategies for DER aggregator considering responsive uncertainty under real-time pricing

Author

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  • Wang, Fei
  • Ge, Xinxin
  • Yang, Peng
  • Li, Kangping
  • Mi, Zengqiang
  • Siano, Pierluigi
  • Duić, Neven

Abstract

This paper addresses the optimal decision problem of a distributed energy resources (DER) aggregator who manages wind turbines, solar PV systems and battery energy storage (BES) units while implementing real-time pricing (RTP) demand response program. The DER aggregator can procure electricity by bidding in the electricity market and scheduling its DER to meet the load demand of its customers. In the bidding and scheduling processes, the intrinsic uncertainties of distributed renewable generations and customer’s responsiveness to RTP program have brought economical risks to the DER aggregator, which will lower the DER aggregator’s profit. However, most of the current researches only consider the uncertainty of renewable generations while neglecting the uncertainty of customer’s responsiveness. To this end, a robust optimization-based day-ahead optimal bidding and scheduling model is proposed for DER aggregator by jointly considering these two uncertainties. The objective of the proposed model is to maximize the aggregator’s profit via optimally determining the hourly bidding quantities in the day-ahead market and the scheduled output power of distributed renewable generations and BES units. Case studies demonstrate that the proposed robust optimization model can help DER aggregator reduce the bidding and scheduling costs to obtain a higher expected profit.

Suggested Citation

  • Wang, Fei & Ge, Xinxin & Yang, Peng & Li, Kangping & Mi, Zengqiang & Siano, Pierluigi & Duić, Neven, 2020. "Day-ahead optimal bidding and scheduling strategies for DER aggregator considering responsive uncertainty under real-time pricing," Energy, Elsevier, vol. 213(C).
    • Handle: RePEc:eee:energy:v:213:y:2020:i:c:s0360544220318727
    DOI: 10.1016/j.energy.2020.118765
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    4. Wang, Yubin & Zheng, Yanchong & Yang, Qiang, 2023. "Day-ahead bidding strategy of regional integrated energy systems considering multiple uncertainties in electricity markets," Applied Energy, Elsevier, vol. 348(C).
    5. Seong-Hyeon Cha & Sun-Hyeok Kwak & Woong Ko, 2023. "A Robust Optimization Model of Aggregated Resources Considering Serving Ratio for Providing Reserve Power in the Joint Electricity Market," Energies, MDPI, vol. 16(20), pages 1-27, October.
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    10. Guo, Hongye & Chen, Qixin & Shahidehpour, Mohammad & Xia, Qing & Kang, Chongqing, 2022. "Bidding behaviors of GENCOs under bounded rationality with renewable energy," Energy, Elsevier, vol. 250(C).
    11. Tao, Peng & Xu, Fei & Dong, Zengbo & Zhang, Chao & Peng, Xuefeng & Zhao, Junpeng & Li, Kangping & Wang, Fei, 2022. "Graph convolutional network-based aggregated demand response baseline load estimation," Energy, Elsevier, vol. 251(C).
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    14. Wang, Zibo & Dong, Lei & Shi, Mengjie & Qiao, Ji & Jia, Hongjie & Mu, Yunfei & Pu, Tianjiao, 2023. "Market power modeling and restraint of aggregated prosumers in peer-to-peer energy trading: A game-theoretic approach," Applied Energy, Elsevier, vol. 348(C).
    15. Khojasteh, Meysam & Faria, Pedro & Lezama, Fernando & Vale, Zita, 2022. "Optimal strategy of electricity and natural gas aggregators in the energy and balance markets," Energy, Elsevier, vol. 257(C).
    16. Wu, Hongbin & Wang, Jingjie & Lu, Junhua & Ding, Ming & Wang, Lei & Hu, Bin & Sun, Ming & Qi, Xianjun, 2022. "Bilevel load-agent-based distributed coordination decision strategy for aggregators," Energy, Elsevier, vol. 240(C).
    17. Mohammad Mehdi Davari & Hossein Ameli & Mohammad Taghi Ameli & Goran Strbac, 2022. "Impact of Local Emergency Demand Response Programs on the Operation of Electricity and Gas Systems," Energies, MDPI, vol. 15(6), pages 1-20, March.
    18. Mohseni, Soheil & Brent, Alan C. & Kelly, Scott & Browne, Will N., 2022. "Demand response-integrated investment and operational planning of renewable and sustainable energy systems considering forecast uncertainties: A systematic review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 158(C).
    19. Wang, Yubin & Zheng, Yanchong & Yang, Qiang, 2023. "Nash bargaining based collaborative energy management for regional integrated energy systems in uncertain electricity markets," Energy, Elsevier, vol. 269(C).
    20. Nykyri, Mikko & Kärkkäinen, Tommi J. & Levikari, Saku & Honkapuro, Samuli & Annala, Salla & Silventoinen, Pertti, 2022. "Blockchain-based balance settlement ledger for energy communities in open electricity markets," Energy, Elsevier, vol. 253(C).
    21. Wang, Yubin & Zheng, Yanchong & Yang, Qiang, 2023. "Optimal energy management of integrated energy systems for strategic participation in competitive electricity markets," Energy, Elsevier, vol. 278(PA).
    22. Zhang, Li & Gao, Yan & Zhu, Hongbo & Tao, Li, 2022. "Bi-level stochastic real-time pricing model in multi-energy generation system: A reinforcement learning approach," Energy, Elsevier, vol. 239(PA).
    23. Chang, Weiguang & Dong, Wei & Yang, Qiang, 2023. "Day-ahead bidding strategy of cloud energy storage serving multiple heterogeneous microgrids in the electricity market," Applied Energy, Elsevier, vol. 336(C).
    24. Li, Qirui & Yang, Zhifang & Yu, Juan & Li, Wenyuan, 2023. "Impacts of previous revenues on bidding strategies in electricity market: A quantitative analysis," Applied Energy, Elsevier, vol. 345(C).
    25. Lankeshwara, Gayan & Sharma, Rahul & Yan, Ruifeng & Saha, Tapan K., 2022. "Control algorithms to mitigate the effect of uncertainties in residential demand management," Applied Energy, Elsevier, vol. 306(PA).

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