Conference paper
Exploiting Flexibility in Coupled Electricity and Natural Gas Markets: A Price-Based Approach
Department of Electrical Engineering, Technical University of Denmark1
Center for Electric Power and Energy, Centers, Technical University of Denmark2
Energy Analytics and Markets, Center for Electric Power and Energy, Centers, Technical University of Denmark3
CITIES - Centre for IT-Intelligent Energy Systems, Centers, Technical University of Denmark4
Natural gas-fired power plants (NGFPPs) are considered a highly flexible component of the energy system and can facilitate the large-scale integration of intermittent renewable generation. Therefore, it is necessary to improve the coordination between electric power and natural gas systems. Considering a market-based coupling of these systems, we introduce a decision support tool that increases market efficiency in the current setup where day-ahead and balancing markets are cleared sequentially.
The proposed approach relies on the optimal adjustment of natural gas price to modify the scheduling of power plants and reveals the necessary flexibility to handle stochastic renewable production. An essential property of this price-based approach is that it guarantees no financial imbalance (deficit or surplus) for the system operator at the day-ahead stage.
Our analysis shows that the proposed mechanism reduces the expected system cost and efficiently accommodates high shares of renewables.
| Language: | English |
|---|---|
| Publisher: | IEEE |
| Year: | 2017 |
| Pages: | 1-6 |
| Proceedings: | 12th IEEE Power and Energy Society PowerTech Conference |
| ISBN: | 1509042377 , 1509042385 , 9781509042371 and 9781509042388 |
| Types: | Conference paper |
| DOI: | 10.1109/PTC.2017.7981047 |
| ORCIDs: | Ordoudis, Christos , Delikaraoglou, Stefanos , Pinson, Pierre and Kazempour, Jalal |
Bilevel programming Electricity markets Natural gas markets SDG 7 - Affordable and Clean Energy Stochastic programming
Integrated circuits NGFPP Natural gas Production Real-time systems Stochastic processes Wind power generation coupled electricity decision support tool electric power systems electricity markets intermittent renewable generation large-scale integration natural gas markets natural gas price natural gas systems natural gas technology natural gas-fired power plants power generation scheduling power markets power plant scheduling price-based approach stochastic programming stochastic renewable production
