Collaborative bidding optimization model for pumped storage plants participating in the electricity and flexible ramping markets considering multi-player game relationships: Case study of China

Optimizing the allocation of the pumped storage plants (PSP) and other flexible resources under electricity market (EM) is an effective measure to enhance the flexibility of power system. However, the strategic interactions between PSPs and other market players maybe influence the bidding strategies of PSPs in EM and flexible ramping market (FRM). To cope with this problem, firstly, a multi-player game relationship analysis framework is established between a PSP and other power market players. Secondly, a synergistic trading model, covering flexibility resource demand determination and virtual bidding curve formation for EM and FRM is designed. Lastly, simulations are conducted on an actual PSP, revealing that: 1) The proposed multi-player game relationship analysis framework increase the expected profit of the PSP by 1.79 % and improves the consumption rate of renewable energy by 1.64 %. 2) In FRM alone, the expected profit of the PSP increases by 0.22 %, indicating that the virtual bidding curve provides accurate compensation for the units supplying flexible ramping products. 3) Compared with a single profit model, when the multi-player game relationship and multi-market trading mode are considered, the PSP's profit increases by 2.78 %, indicating that the combination of multiple profit models can further enhance the profit margin.