Assessment of Energy Arbitrage Using Energy Storage Systems: A Wind Park’s Perspective

Pavani Ponnaganti, Birgitte Bak-Jensen, Brian Vejrum Wæhrens and Jesper Asmussen
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Pavani Ponnaganti: Department of Energy Technology, Aalborg University, 9220 Aalborg, Denmark
Birgitte Bak-Jensen: Department of Energy Technology, Aalborg University, 9220 Aalborg, Denmark
Brian Vejrum Wæhrens: Department of Mechanical and Manufacturing Engineering, Aalborg University, 9220 Aalborg, Denmark
Jesper Asmussen: Lead-Performance Optimization, Blue Power Partners, 9000 Aalborg, Denmark

Energies, 2021, vol. 14, issue 16, 1-20

Abstract: With the growing application of green energy, the importance of effectively handling the volatile nature of these energy sources is also growing in order to ensure economic and operational viability. Accordingly, the main contribution of this work is to evaluate the revenue potential for wind parks with integrated storage systems in the day-ahead electricity markets using genetic algorithm. It is achieved by the concept of flexible charging–discharging of the Energy Storage System (ESS), taking advantage of the widespread electricity prices that are predicted using a feedforward-neural-network-based forecasting algorithm. In addition, the reactive power restrictions posed by grid code that are to be followed by the wind park are also considered as one of the constraints. Moreover, the profit obtained with a Battery Energy Storage System (BESS) is compared with that of a Thermal Energy Storage System (TESS). The proposed method gave more profitable results when utilizing BESS for energy arbitrage in day-ahead electricity markets than with TESS. Moreover, the availability of ESS at wind park has reduced the wind power curtailment.

Keywords: Battery Energy Storage System; wind energy arbitrage; electricity markets; genetic algorithm; regression (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: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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