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Day-Ahead Versus Intraday Valuation of Flexibility for Photovoltaic and Wind Power Systems

  • Ernesto GarnierEmail author
  • Reinhard MadlenerEmail author
Conference paper
Part of the Operations Research Proceedings book series (ORP)

Abstract

This paper takes the perspective of a photovoltaic (PV) or wind power plant operator who wants to optimally allocate demand-side flexibility to maximize realizable production value. We compare two allocation alternatives: (1) use of flexible loads to maximize relative day-ahead market value by shifting the portfolio balance in view of day-ahead prices; (2) use of flexible loads in intraday operations to minimize the costs incurred when balancing forecast errors. We argue that the second alternative yields a greater average value than the first in continuous-trade intraday markets. The argument is backed by a market data analysis for Germany in 2013.

Keywords

Wind Power Forecast Error Demand Response Short Position Flexible Load 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Springer International Publishing Switzerland 2016

Authors and Affiliations

  1. 1.RWTH Aachen UniversityAachenGermany
  2. 2.Institute for Future Energy Consumer Needs and Behavior (FCN), School of Business and Economics/E.ON Energy Research CenterRWTH Aachen UniversityAachenGermany

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