Abstract
Virtual power plants (VPP) emerge as a new participant that, in order to maximise their visibility and income, represents a group of distributed energy resources (DER) in the electricity market. However, this DER aggregation brings challenges, such as fluctuating renewable sources dependent on weather variables and guaranteeing power set points. One way to deal with these intermittencies is to incorporate the energy storage system (ESS) into the VPPs. Therefore, this paper presents a novel bidding strategy of VPP that includes modelling the uncertainty associated with solar generation using information gap decision theory (IGDT) and the optimal sizing of ESS systems so as to deal with solar generation fluctuations. Additionally, a study is carried out to determine the economic viability of this methodology in the short, medium and long terms using the return on investment (ROI).
Highlights
Uncertainty of Solar GenerationThe electric power system is transforming due to the penetration of distributed energy resources (DER)
An analysis was carried out to determine what was more profitable for a virtual power plant (VPP): make robust and optimistic decisions based on the modelling of solar uncertainty using information gap decision theory (IGDT) or compensate for fluctuations in solar generation by incorporating storage systems
We observed that the two storage systems had to double and triple the initial capacity
Summary
The electric power system is transforming due to the penetration of distributed energy resources (DER). ESS can support the operation when the renewable generation forecasts mismatch the weather events and provide ancillary services such as voltage and frequency regulation Studies such as those presented in [9,10,11] evaluate different penetration levels of renewable generation and size. In [30], Sadeghian et al proposed a decision-making procedure to size and locate ESS systems within a VPP, including a study on investment risk management. In this case, the authors did not consider the uncertainties related to generators, only considered market price uncertainty and did not include an analysis of the economic feasibility of the proposed methodology. An economic study using return on investment (ROI) to determine the feasibility of investing in ESS to compensate for the uncertainty of solar generation in the short, medium and long terms
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