Demand-side reserve in stochastic market clearing of joint energy/reserve auctions

Abstract

SUMMARYThis paper proposes a stochastic model for security-constrained market clearing that includes supply-side and demand-side reserve offers where energy and reserve are jointly dispatched. In this model, the solution methodology consists of two stages. In the first stage, random disturbances, such as outages of generation units and transmission lines, are modeled as different scenarios using the Lattice Monte Carlo Simulation (LMCS) method. Then, the stochastic market clearing procedure is decomposed into deterministic optimization sub-problems (scenarios) including non-contingent scenario and different post-contingency states. For each deterministic scenario, the resources are scheduled and dispatched in a joint auction through a mixed-integer linear optimization program in which the objective is to maximize the weighted-average social welfare of all market participants. The model is applied to the IEEE 24-bus Reliability Test System (IEEE 24-bus RTS) and simulation studies are carried out to examine the effectiveness of the proposed method.

Payment minimisation auction with security constraints

“…The Fortuny-Amat transformation method is used here to convert these terms to mixed-integer linear expressions [26]. Considering an inequality constraint of general type of (18), (19) gives the complementary slackness condition which can be linearised using (20). In (19), M and H are sufficiently large constants.…”

“…Though the security constraints were considered in so many works under OCM mechanism [19][20][21][22], there are only a few works that addressed the security constrained PCM market clearing. Luh et al [3,11] proposed a simple joint energy-reserve PCM framework without network constraints.…”

A two-stage robust model to determine the optimal selling price for a distributed generation-owning retailer

“…In the proposed model, the probability density function is used to model the uncertain pool prices and clients' demand. A two‐stage stochastic model for the security‐constrained market clearing is presented in that considers reserve offers of supply and demand sides in the joint energy‐reserve market.…”

ANFIS-based non-dominated sorting genetic algorithm II for scenario-based joint energy and reserves market clearing considering TCSC device

“…In the deterministic formulation of these studies, the required reserves capacities are selected based on the largest unit criterion. Stochastic aggregated frameworks of energy and reserves market clearing considering the system uncertainties including generating units and branch contingencies and load uncertainty are presented in . In these references, the required reserves in each scenario of the stochastic model are selected equal to the total lost capacity of generating units as compared with the normal state.…”