Optimal Control of a Power Storage Facility with Variable Payoffs

TL;DR

This paper introduces a model-independent stochastic methodology to optimize control strategies for power storage facilities, considering various operational factors to maximize profits under diverse conditions.

Contribution

It provides a novel approach that directly uses excess demand data, avoiding the need to identify underlying demand processes, thus enhancing flexibility and applicability.

Findings

Effective control strategies identified for different operational conditions.

Methodology outperforms traditional model-dependent approaches.

Applicable to real-world power storage profit maximization.

Abstract

We present a methodology for determining the relationship between the optimal control points of a power storage facility and a number of different factors including storage level and temperature. The interaction between different factors is considered to allow for the identification of a precise optimal control strategy to maximise the profits of a power storage facility under a variety of different conditions. The methodology is based upon traditional stochastic techniques, however by working directly with excess demand data is model independent and does not require identification of the underlying process.