Small hydropower (SHP) and pumped hydropower storage (PHS) are ideal members of power systems with regard to integrating intermittent power production from wind and PV facilities in modern power systems using the high penetration of renewable energy. Due to the limited capacity of SHP and the geographic restrictions of PHS, these power sources have not been adequately utilized in multi-energy integration. On the one hand, rapidly increasing wind/PV power is mostly situated in remote areas (i.e., mountain and rural areas) and is delivered to core areas (i.e., manufacturing bases and cities) for environmental protection and economic profit. On the other hand, SHP is commonly dispersed in remote areas and PHS is usually located in core areas. This paper proposes a strategy to take advantage of the distribution and regulation features of these renewable energy sources by presenting two models, which includes a remote power system model to explore the potential of SHP to smooth the short-term fluctuations in wind and PV power by minimizing output fluctuations as well as a core power system model to employ PHS to shift the surplus power to the peak period by maximizing the income from selling regenerated power and minimizing output fluctuations.In the proposed first model, the cooperative regulation not only dispatches SHP with a reciprocal output shape to the wind/PV output to smooth the fluctuations but also operates the reservoir with the scheduled total power production by adjusting its output in parallel. The results of a case study based on a municipal power system in Southwestern China show that, with the proposed method, SHP can successfully smooth the short-term fluctuations in wind and PV power without influencing the daily total power production. Additionally, SHP can replace the thermal power production with renewable power production, smooth the thermal output, and further reduce the operation costs of thermal power. By storing the surplus power in the upper reservoir and regenerating the power during the peak period, PHS can obtain not only the economic benefit of selling the power at high prices but also the environmental benefit of replacing non-renewable power with renewable power. This study provides a feasible approach to explore the potential of SHP and PHS in multi-energy integration applications.Energies 2018, 11, 3459 4 of 24 hourly hydropower output process is a reciprocal process to the output of wind/PV power, but its total daily amount of power production does not meet the schedule.Step 2: Calculate the generation amount gap, E gap , between the scheduled total daily generation amount (E schedule ) and E generated . E gap = | E generated − E schedule |.Step 3: If E generated is larger than E schedule , then they uniformly decrease the hydropower output process (bound by the minimum output, as shown in Figure 2). Otherwise, they uniformly increase the hydropower output (bound by the maximum output, as shown in Figure 3).Step 4: Calculate E generated and E gap with the adjusted process obtained...