Effectiveness of the CVaR method in risk management in an integrated energy system

Abstract

Integrated energy systems can effectively improve the efficiency of energy utilization and promote sustainable development of energy, while meeting the diversified energy demands. In order to deal with the operation risk caused by system uncertainties, the CVaR method was introduced into the system optimization model for risk management. The CVaR model was adopted to solve a multi-objective optimization problem using a two-stage stochastic programming method, where the uncertainty about solar energy and energy demand are considered at the same time. By comparing the optimization results obtained from the CVaR method and from the conventional scenario-based stochastic programming method, the effectiveness of the CVaR method in risk management of integrated energy systems is verified.

Keywords

• Integrated energy system
• Uncertainty
• CVaR method
• Risk management
• Stochastic programming