Parametric Sensitivity Study for Wind Power Trading through Stochastic Reserve and Energy Market Optimization

Abstract

Trading optimal wind power in energy and regulation market offers possibilities for increasing revenues as well as impacting security of the system in a positive way [33]. The bidding in both energy and regulation markets can be done through stochastic optimization process of both markets.Stochastic optimization can be possible once the probabilistic forecst is available through ensemble forecast methodology. For stochastic optimization, the post-processing of the ensembles to generate quantiles that will be used in optimization can be accomplished by employing different methodology. In this study, we will concentrate on the impact of post-processing of ensembles on the stochastic optimization.Generation of quantiles needed for stochastic optimization used herein for market optimization will be the main focus of the investigation. The impact of price ratios between energy and reserve market will be also investigated to analyse the impact of said ratios on the revenues. Furthermore this analysis will be performed for both US and Swedish markets.

Minute-Scale Forecasting of Wind Power—Results from the Collaborative Workshop of IEA Wind Task 32 and 36

“…The balancing term can be employed in a much broader sense in the context of balancing longer time scales. However, in these time scales of mainly energy and reserve market, where balancing actions are scheduled before real time, there are several other means of observations with lower resolutions available [23][24][25]. However, these are not within the time scales of minute-scale forecasting which is the focus of this section.…”