A dynamic multi-level iterative algorithm for clearing European electricity day-ahead markets: An application to the Turkish market

Burak Büke, Mesut Sayin and Fehmi Tanrisever

Journal of the Operational Research Society, 2024, vol. 75, issue 4, 784-798

Abstract: Designing and clearing day-ahead electricity market auctions have recently received significant attention from academia and practice alike. Given the size and the complexity of day-ahead market auctions, clearing them within the time limits imposed by the market is a major practical concern. In this paper, we model all the practical details of the Turkish day-ahead electricity market and provide a new multi-level iterative heuristic to clear the market. We compare our results with a commercial solver using data provided by Energy Exchange Istanbul. Our heuristic achieves an average optimality gap less than 0.09%, with an average solution time of just 14 s; whereas the commercial solver takes, on average, 18 min (and in some cases up to three hours) to find the optimal solution. We also demonstrate that using our heuristic solution to warm-start the commercial solver further reduces the solution time by 25%, on average. Overall, our heuristic proves to be very efficient in clearing the Turkish day-ahead market. We also test the performance of our algorithm as the problem size grows.

Date: 2024
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/01605682.2023.2210182 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:tjorxx:v:75:y:2024:i:4:p:784-798

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/tjor20

DOI: 10.1080/01605682.2023.2210182

Access Statistics for this article

Journal of the Operational Research Society is currently edited by Tom Archibald

More articles in Journal of the Operational Research Society from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().