Title :
Using the seasonal diversity between renewable energy sources to mitigate the effects of Wind generation uncertainties
Author :
Ramos, D.S. ; Guarnier, E. ; Witzler, L.T.
Author_Institution :
Dept. of Electr. Eng., Univ. de Sao Paulo, São Paulo, Brazil
Abstract :
The wind generators in the Brazilian electricity market have made their projects feasible through PPA´s from regulated market where the average prices are lower, however the risks are taken by the consumers. This behavior is associated with the highest risk from uncertainty in the wind generation, which is naturally intermittent, becoming difficult to reach the contractual obligations. This paper illustrates the potential benefit in the introduction of an energy reallocation mechanism (ERM), similar to that existent in Brazil for hydro generators. This encourages wind farm owners to increase their trading activities to reach a more efficient market position and to improve the liquidity in the free electricity market. The investigation is made through simulations which calculate the maximum profitability of wind farms with and without such mechanism.
Keywords :
power generation economics; power markets; profitability; renewable energy sources; wind power plants; Brazilian electricity market; ERM; PPA; contractual obligations; energy reallocation mechanism; hydrogenerators; market position; profitability; regulated market; renewable energy sources; seasonal diversity; wind farm owners; wind generation uncertainties; Atmospheric modeling; Generators; Mathematical model; Portfolios; Wind; Wind power generation; Power System Economics; Wind Energy;
Conference_Titel :
Transmission and Distribution: Latin America Conference and Exposition (T&D-LA), 2012 Sixth IEEE/PES
Conference_Location :
Montevideo
Print_ISBN :
978-1-4673-2672-8
DOI :
10.1109/TDC-LA.2012.6319142