A valorization of the short-term forecasting of wind power

This paper presents an estimate of the value of information of the hourly wind forecast of the next three days when the forecast is used in the programming task of the operation of the generation system. The value of information is measured as the expected future operating costs without having the forecast minus the expected future operating cost when having it. The paper presents a calculation methodology and its application to the Uruguay in 2015. The result shows that such information has a value of around 1% of Cost of Supply Demand (CSD).