Power Market Bidding Strategy for Lithium Battery Energy Storage Based on Energy Distribution

doi:10.3969/j.issn.1000-7229.2018.05.017

Abstract

Abstract: ABSTRACT： Power market bidding is the new profit point of energy storage operation. Research on the application of energy storage technology in the existing power market adopts a single computational model, which ignores the dynamic energy characteristics of the battery energy storage. According to above problem, taking lithium battery energy storage as example, this paper proposes a power market bidding strategy for lithium battery energy storage based on the energy distribution. Firstly, this strategy introduces the dynamic energy model of lithium battery, then allocates the energy of lithium battery according to the TOU （time-of-use） power price and formulates the energy bidding strategy for energy storage system by taking the maximum energy storage economic gains and daily battery energy storage market bidding profit as the optimal targets. Finally, based on the TOU power price in a certain area, the profits of lithium battery energy storage under different bidding strategies are calculated and compared. The research results can provide reference for power market bidding of electric energy storage and provide theoretical basis for the economic evaluation of energy storage technologies.

Key words: KEYWORDS： energy storage, lithium batteries, electricity market, bidding strategy, TOU power price

CLC Number:

ZHANG Bo，YAN Ning，LI Wei . Power Market Bidding Strategy for Lithium Battery Energy Storage Based on Energy Distribution [J]. Electric Power Construction, 2018, 39(5): 138-.

References

［1］SIOSHANSI R, DENHOLM P, JENKIN T, et al. Estimating the value of electricity storage in PJM: Arbitrage and some welfare effects［J］. Energy Economics, 2009, 31（2）: 269-277.

［2］陈玮，梁博淼，蒙文川，等. 计及负荷和电价不确定性的电力零售公司购电组合优化［J］．电力建设, 2016, 37（7）: 54-61．

CHEN Wei, LIANG Bomiao, MENG Wenchuan, et al. Optimal portfolio strategies of purchasing electricity for electricity retail companies considering load and electricity price uncertainties［J］. Electric Power Construction, 2016, 37（7）:54-61.

［3］BRADBURY K, PRATSON L, PATINO-ECHEVERRI D. Economic viability of energy storage systems based on price arbitrage potential in real-time U.S. electricity markets［J］. Applied Energy, 2014, 114:512-519. ［4］SHCHERBAKOVA A, KLEIT A, CHO J. The value of energy storage in South Koreas electricity market: A Hotelling approach［J］. Applied Energy, 2014, 125: 93-102.

［5］殷伟, 童勤毅, 徐洋, 等．考虑设备全生命周期成本的工厂多能微网经济调度策略［J］．电力建设, 2017, 38（12）: 97-103．

YIN Wei, TONG Qinyi, XU Yang, et al. An economic dispatch strategy of plant multi-energy microgrid considering life cycle cost of equipment［J］. Electric Power Construction, 2017,38（12）:97-103.

［6］LOCATELLI G, PALERMA E, MANCINI M. Assessing the economics of large energy storage plants with an optimisation methodology［J］. Energy, 2015, 83: 15-28.

［7］EKMAN C K, JENSEN S H. Prospects for large scale electricity storage in Denmark［J］. Energy Conversion and Management, 2010, 51（6）: 1140-1147.

［8］ZAKERI B, SYRI S. Electrical energy storage systems: A comparative life cycle cost analysis［J］. Renewable and Sustainable Energy Reviews, 2015, 42: 569-596.

［9］VARKANI A K, DARAEEPOUR A, MONSEF H. A new self-scheduling strategy for integrated operation of wind and pumped-storage power plants in power markets［J］. Applied Energy, 2011, 88（12）: 5002-5012.

［10］杨丽娥. 插指电极掩膜的设计与制造［J］. 沈阳工业大学学报, 2017, 39（2）: 159-164.

YANG Lie. Fabrication for mask of interdigitated electrodes［J］. Journal of Shenyang University of Technology, 2017,39（2）:159-164.

［11］孙国强, 周亦洲, 卫志农，等. 能量和旋转备用市场下虚拟电厂热电联合调度鲁棒优化模型［J］. 中国电机工程学报, 2017,37（11）: 3118-3128.

SUN Guoqiang, ZHOU Yizhou, WEI Zhinong, et al. Thermal and electrical scheduling of a virtual power plant for participating in energy and spinning reserve markets based on robust optimization［J］. Proceedings of the CSEE, 2017,37（11）: 3118-3128.

［12］HE Guannan, CHEN Qixin, KANG Chongqing, et al. Optimal operating strategy and revenue estimates for the arbitrage of a vanadium redox flow battery considering dynamic efficiencies and capacity loss［J］. IET Generation, Transmission & Distribution, 2016, 10（5）: 1278-1285.

[1]	ZHAO Erdong , WANG Hao , LIN Hongyang. Research on Ladder Bidding Strategy of Thermal Power Enterprises According to Evolutionary Game in Spot Market [J]. ELECTRIC POWER CONSTRUCTION, 2020, 41(8): 68-71.
[2]	AN Qi， WANG Jianxiao， LI Gengyin， WANG Xuanyuan， LIU Zhen. Scheme and Method for Market Participation of Virtual Power Plant Based on Equilibrium Theory [J]. Electric Power Construction, 2020, 41(6): 1-8.
[3]	YE Fei1， SHAO Ping1， WANG Xuanyuan2， ZUO Juan1， WANG Jun3， DOU Xun3， ZHANG Xin3. Bi-level Bidding Strategies for Virtual Power Plants Considering Purchase and Sale Risks [J]. Electric Power Construction, 2020, 41(6): 28-35.
[4]	HUANG Yuanming, CHEN Qing,WEI Wei, WU Mingxing,XIE Min,DUAN Qingang,LIU Mingbo. Physical Delivery Modeling and Fast Solution Algorithms for Long and Medium-Term Spot Markets Considering Wind-Storage Participating in Direct Transactions [J]. Electric Power Construction, 2020, 41(1): 55-63.
[5]	LIU Yongjun， CAO Xiaojun， HU Zhaoyang， WANG Ke， XU Lizhong， GAO Ciwei. Research on Scheduling Strategy of Data Centers Participating in Multi-peak-regulating Ancillary Service Markets [J]. Electric Power Construction, 2019, 40(9): 82-90.
[6]	WANG Xinghua， LIU Shengwei， CHEN Haojun， PENG Xiangang， ZHOU Yawu. Demand Response Pricing Model for Power Sales Companies Considering User Differences [J]. Electric Power Construction, 2019, 40(9): 116-123.
[7]	QI Shixiong， WANG Xiuli， ZHANG Wei， WU Xiong， WANG Gaoqin， SHI Xinhong. Evaluation Method for Electricity Market Clearing Model Based on Game Theory and Improved PageRank [J]. Electric Power Construction, 2019, 40(5): 107-117.
[8]	GAO Qianheng， HUANG Shuaifei， LI Erchao， DONG Zhiqiang， LI Xiaoyi. Optimal Dispatching of Electricity Retailers Considering Hydrogen Storage in the Electricity Market [J]. Electric Power Construction, 2019, 40(4): 42-48.
[9]	SHAN Junjia， LI Yang， HU Junjie. Application of Transactive Energy Mechanism in Prosumer Energy Management [J]. Electric Power Construction, 2019, 40(11): 31-38.
[10]	GU Jinwei， LU Yangyang. Status Analysis on Chinese Tradable Green Certificate Market and the Optimization of Trading Mechanism [J]. Electric Power Construction, 2019, 40(10): 45-55.
[11]	CHEN Zhongfei, JING Zhaoxia， XIE Wenjin. Pricing Mechanism of Power Transmission in Multi-level Grid [J]. Electric Power Construction, 2018, 39(7): 10-23.
[12]	SHUAI Yunfeng, ZHOU Chunlei, LI Meng, HU Junfeng, WANG Peng. Coupling Mechanism of U.S. Carbon Market and Electricity Market: A Case Study of Regional Greenhouse Gas Initiative [J]. Electric Power Construction, 2018, 39(7): 41-47.
[13]	YANG Bo1, FENG Xinzhen2, WANG Deshun2, YU Tao3, ZHANG Chenyu4. An Improved VSG Control Method for Energy Storage Converters [J]. Electric Power Construction, 2018, 39(4): 126-.
[14]	WU Lei，YU Jiancheng，LI Siwei，HU Qinge，TANG Jia，WANG Dan. Interaction Effect of Distribution Network and Users Based on Thermostat Controlled Load Responding to Price Signals [J]. Electric Power Construction, 2018, 39(2): 130-.
[15]	YU Min, NI Linna, FANG Peng, LIU Fuyan, WEN Fushuan. Electrical Energy Acquisition Strategy for Load Aggregators Considering Combined Uncertainties of Distributed Generation Outputs and Electricity Market Prices [J]. Electric Power Construction, 2018, 39(1): 10-.