A Novel Market Simulation Methodology on Hydro Storage

Abstract

This paper presents a novel methodology to simulate the economic performance of hydro storage systems in the day-ahead (DA) and real-time (RT) markets. A detailed hydro storage system model is proposed to capture the unique characteristics of hydro storage units. A unique RT market bidding method named Tiered Bidding is proposed to represent the RT market offers of hydro storage units. In order to accurately represent the way hydro storage systems participate in the RT market, four hydro system RT bidding strategies are proposed and evaluated. The proposed methodology is applied to the Eastern Interconnection system to evaluate the economic benefits of Manitoba Hydro's market participation in MISO's RT energy and ancillary services market.

Department(s)

Electrical and Computer Engineering

Keywords and Phrases

Ancillary Services Markets; Co-Optimization; Economic Performance; Energy Markets; Hydro; Hydro Storage Systems; Interconnection Systems; Market Participations; Computer Science; Energy Storage; Networks (circuits); Wind; Commerce; Ancillary Services Market; Energy Market

International Standard Serial Number (ISSN)

1949-3053

Document Type

Article - Journal

Document Version

Citation

File Type

text

Language(s)

English

Rights

© 2014 Institute of Electrical and Electronics Engineers (IEEE), All rights reserved.

Publication Date

01 Feb 2014

Link to Full Text

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