Journal article ยท Ahead of Print article
Stochastic Control and Pricing for Natural Gas Networks
Center for Electric Power and Energy, Centers, Technical University of Denmark1
Energy Analytics and Markets, Center for Electric Power and Energy, Centers, Technical University of Denmark2
Department of Electrical Engineering, Technical University of Denmark3
Operations Research, Management Science, Department of Technology, Management and Economics, Technical University of Denmark4
Management Science, Department of Technology, Management and Economics, Technical University of Denmark5
Department of Technology, Management and Economics, Technical University of Denmark6
We propose stochastic control policies to cope with uncertain and variable gas extractions in natural gas networks. Given historical gas extraction data, these policies are optimized to produce the real-time control inputs for nodal gas injections and for pressure regulation rates by compressors and valves.
We describe the random network state as a function of control inputs, which enables a chance-constrained optimization of these policies for arbitrary network topologies. This optimization ensures the real-time gas flow feasibility and a minimal variation in the network state up to specified feasibility and variance criteria.
Furthermore, the chance-constrained optimization provides the foundation of a stochastic pricing scheme for natural gas networks, which improves on a deterministic market settlement by offering the compensations to network assets for their contribution to uncertainty and variance control. We analyze the economic properties, including efficiency, revenue adequacy and cost recovery, of the proposed pricing scheme and make them conditioned on the network design.
Language: | English |
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Publisher: | IEEE |
Year: | 2022 |
Pages: | 450-462 |
ISSN: | 23255870 and 23722533 |
Types: | Journal article and Ahead of Print article |
DOI: | 10.1109/TCNS.2021.3112764 |
ORCIDs: | Dvorkin, Vladimir , Ratha, Anubhav , Pinson, Pierre and Kazempour, Jalal |