Stochastic Optimization of Microgrid Participating Day-Ahead Market Operation Strategy with Consideration of Energy Storage System and Demand Response

Huiru Zhao, Hao Lu, Bingkang Li, Xuejie Wang, Shiying Zhang and Yuwei Wang
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Huiru Zhao: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Hao Lu: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Bingkang Li: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Xuejie Wang: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Shiying Zhang: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Yuwei Wang: Department of Economic Management, North China Electric Power University, Baoding 071003, China

Energies, 2020, vol. 13, issue 5, 1-16

Abstract: More and more attention has been paid to the development of renewable energy in the world. Microgrids with flexible regulation abilities provide an effective way to solve the problem of renewable energy connected to power grids. In this article, an optimization strategy of a microgrid participating in day-ahead market operations considering demand responses is proposed, where the uncertainties of distributed renewable energy generation, electrical load, and day-ahead market prices are taken into account. The results show that, when the microgrid implements the demand response, the operation cost of the microgrid decreases by 4.17%. Meanwhile, the demand response program can transfer the peak load of the high-price period to the low-price period, which reduces the peak valley difference of the load and stabilizes the load curve. Finally, a sensitivity analysis of three factors is carried out, finding that, with the increase of the demand response adjustable ratio or the maximum capacity of the electrical storage devices, the operation cost of the microgrid decreases, while, with the increase of the demand response cost, the operation cost of the microgrid increases and, finally, tends to the cost without the demand response. The sensitivity analysis reveals that the demand response cost has a reasonable pricing range to maximize the value of the demand response.

Keywords: stochastic optimization; microgrid operation; day-ahead market; demand response; energy storage system (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (11)

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