Journal
IEEE TRANSACTIONS ON SUSTAINABLE ENERGY
Volume 2, Issue 3, Pages 277-287Publisher
IEEE-INST ELECTRICAL ELECTRONICS ENGINEERS INC
DOI: 10.1109/TSTE.2011.2111467
Keywords
Coordinated bidding strategy; mixed integer stochastic programming (SP); risk; thermal power production; wind power production
Categories
Funding
- King Fahd University of Petroleum & Minerals (KFUPM), Dhahran, Saudi Arabia
Ask authors/readers for more resources
Trading wind energy in short-term electricity markets has high associated risks due to the uncertainties in hourly available wind, energy prices, and imbalance penalties. Coordinated trading of wind and thermal energy is proposed to mitigate risks due to those uncertainties. The problem of wind-thermal coordinated trading is formulated as a mixed-integer stochastic linear program. The objective is to obtain the optimal trade-off bidding strategy that maximizes the total expected profits while controlling trading risks. For risk control, a weighted term of the conditional value at risk (CVaR) is included in the objective function. The CVaR aims to maximize the expected profits of the least profitable scenarios, thus improving trading risk control. A case study comparing coordinated with uncoordinated bidding strategies depending on the trader's risk attitude is included. Simulation results show that coordinated bidding can improve the expected profits while significantly improving the CVaR.
Authors
I am an author on this paper
Click your name to claim this paper and add it to your profile.
Reviews
Recommended
No Data Available