Analysis of the impact of construction and operation of pumped-storage power stations on grid companies and the formulation of electricity prices

Abstract

The pumped storage power station is flexible to start, can realize effective storage of electric energy, and has superior peak and frequency modulation effects, which is beneficial to provide comprehensive benefits of the power system. But at present, the construction of pumped-storage power plants has obviously exceeded the speed of policy and market development, resulting in problems in pumped-storage power station operation and cost reduction. Aiming at this problem, this paper further expounds the influence of the construction and operation of pumped storage power station on the electricity price of power grid companies. The revenue of pumped storage power station mainly comes from the auxiliary service market. In China, the peak regulation effect of pumped storage power station is significant and the revenue is considerable. Therefore, this paper studies the formulation of time-of-use price and subsection price of pumped storage power station.