Abstract
Introducing flexible consumers to electricity markets is beneficial to the power system and offers them potential economic savings. Industrial consumers are pioneer candidates due to their high energy demand and interest in reducing energy costs. This paper addresses the battery storage and photovoltaics investment problem, which includes includes five revenue streams for industrial consumers, participation in day-ahead and intraday energy markets as well as the primary control reserve market, peak shaving and optimized self-consumption. The uncertainty is considered using stochastic scenarios of the local load, primary reserve market and day-ahead market prices, as well as generation from photovoltaics. The uncertainty of the pay-as-bid intraday market with continuous trading is modeled using robust optimization. Credibility and applicability of the model is achieved by using market settings and prices from three European countries and comparing their suitability for encompassing end-user flexibility. Results shed light on national energy-political and climatic differences, highlighting opportunities for active market participation though individual or aggregated industrial plants.
Original language | English |
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Pages (from-to) | 3441 - 3452 |
Number of pages | 12 |
Journal | IEEE Transactions on Power Systems |
Volume | 36 |
Issue number | 4 |
Early online date | 24 Dec 2020 |
DOIs | |
Publication status | Published - Jul 2021 |
Keywords
- Batteries
- battery storage
- clustering
- industrial facilities
- Investment
- IP networks
- Mathematical model
- optimal investment
- Optimization
- photovoltaics
- robust optimization
- stochastic optimization
- Stochastic processes
- Uncertainty