Energy-grade double pricing mechanism for a combined heat and power system using the asynchronous dispatch method

TL;DR

This paper proposes an energy-grade double pricing mechanism for combined heat and power systems that accounts for asynchronous dispatch and thermal energy quality, ensuring revenue adequacy for both heat and electricity operators.

Contribution

It introduces a novel pricing mechanism based on asynchronous dispatch that considers energy quality and guarantees revenue adequacy across different time scales.

Findings

The pricing mechanism guarantees revenue adequacy for heat and electricity operators.

It effectively decomposes merchandise surplus into interpretable parts.

The method analyzes effects of different time scales and cogeneration on pricing.

Abstract

The problem of heat and electricity pricing in combined heat and power systems regarding the time scales of electricity and heat, as well as thermal energy quality, is studied. Based on the asynchronous coordinated dispatch of the combined heat and power system, an energy-grade double pricing mechanism is proposed. Under the pricing mechanism, the resulting merchandise surplus of the heat system operator at each heat dispatch interval can be decomposed into interpretable parts and its revenue adequacy can be guaranteed for all heat dispatch intervals. And the electric power system operator's resulting merchandise surplus is composed of non-negative components at each electricity dispatch interval, also ensuring its revenue adequacy. In addition, the effects of different time scales and cogeneration are analyzed in different kinds of combined heat and power units' pricing.