Hybrid power plant offering strategy to deal with the stochastic nature and outage of wind generators

Abstract

The stochastic nature of wind power generators and their possible outage are crucial issues which make them difficult to participate in electricity markets. However, demand side as a decent balancing resource can be used to compensate the challenges of lack of supply-demand balance or state of outage for wind generators. This paper firstly models the outage of wind generators. Then an offering strategy with a three-stage stochastic programming is presented for a hybrid power plant which includes a wind power producer and a demand response provider. Three electricity markets are considered including day-ahead, adjustment and balancing market. The conditional value-at-risk is also added to the offering strategy to control the profit risk. The offering strategy is tested in a wind farm and electricity market located in Spain. The result shows that the hybrid power plant offering strategy can effectively assist with the balancing and outage problem of the wind power producer and increase the overall profit of the joint operation.