One of the main characteristics of wind power is the inherent variability and unpredictability of the generation source, even in the short-term. To cope with this drawback, hydro pumped-storage units have been proposed in the literature as a good complement to wind generation due to their ability to manage positive and negative energy imbalances over time. This paper investigates the combined optimization of a wind farm and a pumped-storage facility from the point of view of a generation company in a market environment. The optimization model is formulated as a two-stage stochastic programming problem with two random parameters: market prices and wind generation. The optimal bids for the day-ahead spot market are the “here and now” decisions while the optimal operation of the facilities are the recourse variables. A joint configuration is modeled and compared with an uncoordinated operation. A realistic example case is presented where the developed models are tested with satisfactory results.
Keywords: Day-ahead electricity markets, energy storage, optimization, profit maximization, wind power
IEEE Transactions on Power Systems. Volume: 23 Issue: 2 Pages: 460-468
Journal Impact Factor: JCR impact factor 5.255 (2017)
DOI reference:
10.1109/TPWRS.2008.919430
Published on paper: May 2008.
