Energy storage product bidding

What is the optimal bidding strategy for ESSs in the FRP market?

This study introduces a stochastic optimisation framework for participation of ESSs in the FRP market. The proposed model formulates the optimal bidding strategy of ESSs considering the real-time energy, flexible ramp-up and ramp-down marginal price signals and the associated uncertainties.

How is the bidding strategy implemented?

The bidding strategy is implemented on the real-time price signals of Fig. 4 (the average of ten MCS) and is tabulated in Table 2. In this table, the two-level bids (one for energy and one for FRP) when the FRU or FRD prices are greater than 0.5$/MWh are demonstrated.

What is the bidding strategy of ESS based on energy and FRP price signals?

The bidding strategy of ESS based on energy and FRP price signals in order to maximise its profitability is described in Section 4. The case study and numerical results are investigated in Section 5 and eventually, the concluding remarks are presented in Section 6.

What is the proposed bidding mechanism for energy trades and FRP?

The proposed mechanism is a two-level bidding action that the ESS should submit: one for energy trades and the other for FRP. The proposed solution is simulated on the IEEE 118-bus test system and MCS is performed to attain the expected real-time realised position.

Do energy storage systems have a high ramping capability?

Energy storage systems (ESSs) with high ramping capability can leverage their profitability when properly participating in this market. This study introduces a stochastic optimisation framework for participation of ESSs in the FRP market.

What is a joint energy-reserve procurement strategy?

Market operators use either sequential or joint energy-reserve procurement strategies. Joint markets clear energy and reserves simultaneously, accounting for interdependencies, using UC optimization at the unit level . Examples include U.S. markets such as PJM, CAISO, ERCOT, MISO, and NYISO , .