Bidding Strategies for Virtual Power Plants in the Iberian Electricity Market

• Type: Article in International Conference Proceedings Book
• Date: 2021

Authors

Gough, M (Author) Other; Santos, SF (Author) Other; Oliveira, J (Author) Other; Chaves, J (Author) Other; Castro, R (Author) Other; Catalao, JPS (Author) FEUP

Conference proceedings International

Title: 2021 21ST IEEE INTERNATIONAL CONFERENCE ON ENVIRONMENT AND ELECTRICAL ENGINEERING AND 2021 5TH IEEE INDUSTRIAL AND COMMERCIAL POWER SYSTEMS EUROPE (EEEIC/I&CPS EUROPE)

21st IEEE International Conference on Environment and Electrical Engineering / 5th IEEE Industrial and Commercial Power Systems Europe (EEEIC/I and CPS Europe)

Politecnico Bari, Bari, ITALY, SEP 07-10, 2021

Indexing

ISI Web of Knowledge - 0 Citations

Scopus - 1 Citation

Other information

Authenticus ID: P-00W-BDD

DOI: 10.1109/eeeic/icpseurope51590.2021.9584766

Abstract (EN): In recent years, the energy sector has undergone major changes, particularly in Portugal, where there is complete liberalization of the electricity sector. Like in other European countries, a market agent has been created to facilitate trading relations between producer and trader. The Virtual Power Plant (VPP) agent aims to minimize the costs to the trader and maximizes the profits of producers. In this work, five renewable power plants, which are contractually linked with a VPP, are analyzed to verify the profitability of these contracts for both parties. Using this framework, an analysis is carried out examining the differences between actual renewable production and the planned (forecasted) production. In some instances, there are significant deviations between actual and forecast production and this results in higher costs. Consequently, the greater the deviations, the greater the expenses and, therefore, the lower the profit of each party. Thus, new bidding strategies that result in the reduction of these differences are sought. The bidding strategies proposed in this paper involve markets and various types of contracts to deliver the optimal solution that results in higher profits for both parties. The results show an increase in VPP profit on average of 32%.

Language: English

Type (Professor's evaluation): Scientific

No. of pages: 6