Rolling Optimization of Wind Farm and Energy Storage System in Electricity Markets

Intraday energy markets have been established in some power markets mainly because of large-scale wind power integration. Inspired by the Spanish power market, this paper proposes a modified market design which contains day-ahead and intraday energy bidding sections to better accommodate stochastic wind energy. Then coordinated operation of the wind farm (WF) and energy storage system (ESS) is studied. Rolling stochastic optimization formulations for day-ahead, intraday biddings and real-time operations are put forward to obtain the optimal bidding strategy of WF-ESS union in each bidding section to maximize its overall profit. Case studies and sensitivity analyses are carried out on a union of WFs and a pumped storage plant (PSP). Simulation results show that the proposed rolling optimization method can effectively utilize the updated wind power forecast data and regulation capability of ESS, and thus increase profit for the union prominently.