Strategic Offering for a Price-Maker Wind Power Producer in Oligopoly Markets Considering Demand Response Exchange

• Type: Article in International Scientific Journal
• Date: 2015

Authors

Shafie khah, M (Author) Other; Heydarian Forushani, E (Author) Other; Golshan, MEH (Author) Other; Moghaddam, MP (Author) Other; Sheikh El Eslami, MK (Author) Other; Catalao, JPS (Author) FEUP

Journal

Title: IEEE Transactions on Industrial Informatics

Vol. 11

Pages: 1542-1553

ISSN: 1551-3203

Publisher: IEEE

Indexing

ISI Web of Knowledge - 52 Citations

Scopus - 57 Citations

Other information

Authenticus ID: P-00J-Y58

DOI: 10.1109/tii.2015.2472339

Abstract (EN): This paper proposes an offering strategy for a wind power producer (WPP) that participates in both day-ahead (DA) and balancing oligopoly markets as a price maker. Penetration of demand response (DR) resources into smart grids is modeled by intraday demand response exchange (IDRX) architecture. A bilevel optimization framework is proposed based on multiagent system and incomplete information game theory. Modeling the WPPs in high penetration of wind power as price makers can reflect the capability of this market player to directly affect the market prices. Simulation results indicate that the price-taker model ofWPP is not accurate for WPPs that have significant market shares. By comparing the results obtained from modeling the WPPs as price makers with the ones as price takers, it can be concluded that WPPs have the market power not only to increase the prices of both DA and balancing markets, but also to reduce the amount of DR through IDRX market mechanism.

Language: English

Type (Professor's evaluation): Scientific

No. of pages: 12