Flexible and Short-term bidding strategy of Hybrid Transmission Operating Company in day-ahead energy market with considering storage resources

Abstract

This paper proposed a new flexible approach to optimization of hybrid transmission Operating companies (HTOC) in which the maximization of the revenue of combined company as well as maximizing social welfare from the perspective of the independent system operator (ISO) is considered. The company's strategy is to maximize its revenue both through the transmission and through the sale and buying of energy in the day-ahead energy market using storage resources. The use of a bi-level model to optimize the objective functions of the problem along with the proposed strategy to maximize the company's revenue has been proposed, which has been transformed into a single-level model using the Karush–Kuhn–Tucker (KKT). In order to achieve a guaranteed income, the uncertainty of competitors' behavior is modeled by a modified scenario based method(MSBM). The proposed model is first simulated on a IEEE 9-Bus Standard System and then on a IEEE 57-Bus Standard System using GAMS software. The results show the effectiveness of the proposed strategy to maximize the revenue of the combined company.

Keywords

• hybrid transmission operating companies
• storage resources
• modified scenario based method
• bi-level mode
• uncertainty