Risk Averse Energy Hub Management Considering Plug-in Electric Vehicles Using Information Gap Decision Theory

Abstract

The energy hub is defined as the multi-input multi-output energy converter. It usually consists of various converters like thermal generators, combined heat and power (CHP), renewable energies and energy storage devices. The plug-in electric vehicles as energy storage devices can bring various flexibilities to energy hub management problem. These flexibilities include emission reduction, cost reduction, controlling financial risks, mitigating volatility of power output in renewable energy resources, active demand side management and ancillary service provision. In this chapter a comprehensive risk hedging model for energy hub management is proposed. The focus is placed on minimizing both the energy procurement cost and financial risks in energy hub. For controlling the undesired effects of the uncertainties, the Information gap decision theory (IGDT) technique is used as the risk management tool. The proposed model is formulated as a mixed integer linear programming (MILP) problem and solved using General Algebraic Modeling System (GAMS). An illustrative example is analyzed to demonstrate the applicability of the proposed method.