Single-level Robust Bidding of Renewable-only Virtual Power Plant in Energy and Ancillary Service Markets for Worst-case Profit

TL;DR

This paper introduces a robust single-level optimization model for renewable-only virtual power plant bidding in energy markets, effectively capturing worst-case profits amid multiple uncertainties and demonstrating superior performance and efficiency.

Contribution

It presents a novel linearized single-level robust mathematical model for RVPP bidding that accounts for multiple uncertainties, improving upon existing methods.

Findings

The proposed model outperforms existing approaches in simulations.

It effectively captures worst-case profit scenarios.

The model demonstrates high computational efficiency.

Abstract

This paper proposes a novel single-level robust mathematical approach to model the RES-only Virtual Power Plant (RVPP) bidding problem in the simultaneous Day Ahead Market (DAM) and Secondary Reserve Market (SRM). The worst-case profit of RVPP due to uncertainties related to electricity prices, Non-dispatchable Renewable Energy Sources (ND-RES) production, and flexible demand is captured. In order to find the worst-case profit in a single-level model, the relationship between price and energy uncertainties leads to some non-linear constraints, which are appropriately linearized. The simulation results show the superiority of the proposed robust model compared to those in the literature, as well as its computational efficiency.