Abstract: China’s declared transformation towards a ‘new electricity system dominated by renewable energy’ requires a cleaner electricity consumption mix with high shares of renewable energy sourced-electricity (RES-E). Unfortunately, integration of RES-E into Chinese electricity markets remains a problem pending more robust legal support, evidenced by the curtailment of wind and solar power due to integration constraints. The upcoming Energy Law of the PRC (Energy Law) is expected to provide such long-awaiting support and coordinate the existing diverse sector-specific laws to deal with the weak implementation that dampening the delivery of their desired regulatory effects. However, in the shadow of the COVID-19 crisis, it remains uncertain how this new Energy Law brings synergies to RES-E integration, mindful of the significant impacts of the pandemic. Through the theoretical lens of the interplay between China’s electricity market reform and legislative development, this paper investigates whether there is a paradigm shift in Energy Law regarding renewable energy integration compared with the existing sector-specific energy laws. It examines the 2020 Draft for Comments on the Energy Law and analyses its relationship with sector-specific energy laws focusing on RES-E integration. The comparison is drawn upon five critical aspects of the RES-E integration issue, including the status of renewables, marketisation, incentive schemes, consumption mechanisms, access to power grids and dispatching. The analysis shows that it is reasonable to expect a more open and well-organised electricity market, enabling the absorption of high shares of RES-E. The present paper concludes that a period of prosperous development of RES-E in the post-COVID-19 era can be anticipated with the legal support by the upcoming Energy Law. It contributes to understanding the signals China is sending regarding the transition towards a cleaner energy future.
Abstract: Evaluation of organizational performance is among the most important measures that help organizations and entities continuously improve their efficiency. Organizations can use the existing data and results from the comparison of units under investigation to obtain an estimation of their performance. The Malmquist Productivity Index (MPI) is an important index in the evaluation of overall productivity, which considers technological developments and technical efficiency at the same time. This article proposed a model based on the multistage MPI, considering limited data (Grey’s theory). This model can evaluate the performance of units using limited and uncertain data in a multistage process. It was applied by the electricity market manager to Iran’s electric power supply chain (EPSC), which contains uncertain data, to evaluate the performance of its actors. Results from solving the model showed an improvement in the accuracy of future performance of the units under investigation, using the Grey’s system theory. This model can be used in all case studies, in which MPI is used and there are limited or uncertain data.
Abstract: Electricity markets throughout the world have
undergone substantial changes. Accurate, reliable, clear and
comprehensible modeling and forecasting of different variables
(loads and prices in the first instance) have achieved increasing
importance. In this paper, we describe the actual state of the
art focusing on reg-SARMA methods, which have proven to be
flexible enough to accommodate the electricity price/load behavior
satisfactory. More specifically, we will discuss: 1) The dichotomy
between point and interval forecasts; 2) The difficult choice between
stochastic (e.g. climatic variation) and non-deterministic predictors
(e.g. calendar variables); 3) The confrontation between modelling
a single aggregate time series or creating separated and potentially
different models of sub-series. The noteworthy point that we would
like to make it emerge is that prices and loads require different
approaches that appear irreconcilable even though must be made
reconcilable for the interests and activities of energy companies.
Abstract: Electricity prices have sophisticated features such as
high volatility, nonlinearity and high frequency that make forecasting
quite difficult. Electricity price has a volatile and non-random
character so that, it is possible to identify the patterns based on the
historical data. Intelligent decision-making requires accurate price
forecasting for market traders, retailers, and generation companies.
So far, many shallow-ANN (artificial neural networks) models have
been published in the literature and showed adequate forecasting
results. During the last years, neural networks with many hidden
layers, which are referred to as DNN (deep neural networks) have
been using in the machine learning community. The goal of this
study is to investigate electricity price forecasting performance of the
shallow-ANN and DNN models for the Turkish day-ahead electricity
market. The forecasting accuracy of the models has been evaluated
with publicly available data from the Turkish day-ahead electricity
market. Both shallow-ANN and DNN approach would give successful
result in forecasting problems. Historical load, price and weather
temperature data are used as the input variables for the models.
The data set includes power consumption measurements gathered
between January 2016 and December 2017 with one-hour resolution.
In this regard, forecasting studies have been carried out comparatively
with shallow-ANN and DNN models for Turkish electricity markets
in the related time period. The main contribution of this study
is the investigation of different shallow-ANN and DNN models
in the field of electricity price forecast. All models are compared
regarding their MAE (Mean Absolute Error) and MSE (Mean Square)
results. DNN models give better forecasting performance compare to
shallow-ANN. Best five MAE results for DNN models are 0.346,
0.372, 0.392, 0,402 and 0.409.
Abstract: Load forecasting has become crucial in recent years
and become popular in forecasting area. Many different power
forecasting models have been tried out for this purpose. Electricity
load forecasting is necessary for energy policies, healthy and reliable
grid systems. Effective power forecasting of renewable energy load
leads the decision makers to minimize the costs of electric utilities
and power plants. Forecasting tools are required that can be used
to predict how much renewable energy can be utilized. The purpose
of this study is to explore the effectiveness of LSTM-based neural
networks for estimating renewable energy loads. In this study, we
present models for predicting renewable energy loads based on
deep neural networks, especially the Long Term Memory (LSTM)
algorithms. Deep learning allows multiple layers of models to learn
representation of data. LSTM algorithms are able to store information
for long periods of time. Deep learning models have recently been
used to forecast the renewable energy sources such as predicting
wind and solar energy power. Historical load and weather information
represent the most important variables for the inputs within the
power forecasting models. The dataset contained power consumption
measurements are gathered between January 2016 and December
2017 with one-hour resolution. Models use publicly available data
from the Turkish Renewable Energy Resources Support Mechanism.
Forecasting studies have been carried out with these data via deep
neural networks approach including LSTM technique for Turkish
electricity markets. 432 different models are created by changing
layers cell count and dropout. The adaptive moment estimation
(ADAM) algorithm is used for training as a gradient-based optimizer
instead of SGD (stochastic gradient). ADAM performed better than
SGD in terms of faster convergence and lower error rates. Models
performance is compared according to MAE (Mean Absolute Error)
and MSE (Mean Squared Error). Best five MAE results out of
432 tested models are 0.66, 0.74, 0.85 and 1.09. The forecasting
performance of the proposed LSTM models gives successful results
compared to literature searches.
Abstract: The paper shows the development and implementation of the syllabus of the subject 'Distribution and Industrial Networks', attended by the vocational specialist Year 4 students of the Electric Power Engineering study programme at the Higher Education Technical School of Vocational Studies in Novi Sad. The aim of the subject is to equip students with the knowledge necessary for planning, exploitation and management of distributive and industrial electric power networks in an open electricity market environment. The results of the evaluation of educational outcomes on the subject are presented and discussed.
Abstract: To encourage building owners to purchase electricity at the wholesale market and reduce building peak demand, this study aims to develop models that predict day-ahead hourly electricity consumption and demand using artificial neural network (ANN) and support vector machine (SVM). All prediction models are built in Python, with tool Scikit-learn and Pybrain. The input data for both consumption and demand prediction are time stamp, outdoor dry bulb temperature, relative humidity, air handling unit (AHU), supply air temperature and solar radiation. Solar radiation, which is unavailable a day-ahead, is predicted at first, and then this estimation is used as an input to predict consumption and demand. Models to predict consumption and demand are trained in both SVM and ANN, and depend on cooling or heating, weekdays or weekends. The results show that ANN is the better option for both consumption and demand prediction. It can achieve 15.50% to 20.03% coefficient of variance of root mean square error (CVRMSE) for consumption prediction and 22.89% to 32.42% CVRMSE for demand prediction, respectively. To conclude, the presented models have potential to help building owners to purchase electricity at the wholesale market, but they are not robust when used in demand response control.
Abstract: Electricity has an indispensable role in human daily life, technological development and economy. It is a special product or service that should be instantaneously generated and consumed. Sources of the world are limited so that effective and efficient use of them is very important not only for human life and environment but also for technological and economic development. Competitive electricity market is one of the important way that provides suitable platform for effective and efficient use of electricity. Besides benefits, it brings along some risks that should be carefully managed by a market player like Electricity Generation Company. Risk management is an essential part in market players’ decision making. In this paper, risk management through diversification is applied with the help of Value at Risk methods for case studies. Performance of optimal electricity sale solutions are measured and the portfolio performance has been evaluated via Sharpe-Ratio, and compared with conventional approach. Biennial historical electricity price data of Turkish Day Ahead Market are used to demonstrate the approach.
Abstract: Electricity plays an indispensable role in human life and the economy. It is a unique product or service that must be balanced instantaneously, as electricity is not stored, generation and consumption should be proportional. Effective and efficient use of electricity is very important not only for society, but also for the environment. A competitive electricity market is one of the best ways to provide a suitable platform for effective and efficient use of electricity. On the other hand, it carries some risks that should be carefully managed by the market players. Risk management is an essential part in market players’ decision making. In this paper, risk management through diversification is applied with the help of Markowitz’s Mean-variance, Down-side and Semi-variance methods for a case study. Performance of optimal electricity sale solutions are measured and evaluated via Sharpe-Ratio, and the optimal portfolio solutions are improved. Two years of historical weekdays’ price data of the Turkish Day Ahead Market are used to demonstrate the approach.
Abstract: Energy is a fundamental component in economic development and energy consumption is an index of prosperity and the standard of living. The consumption of energy per capita has increased significantly over the last decades, as the standard of living has improved. Turkey’s geographical location has several advantages for extensive use of wind power. Among the renewable sources, Turkey has very high wind energy potential. Information such as installation capacity of wind power plants in installation, under construction and license stages in the country are reported in detail. Some suggestions are presented in order to increase the wind power installation capacity of Turkey. Turkey’s economic and social development has led to a massive increase in demand for electricity over the last decades. Since the Turkey has no major oil or gas reserves, it is highly dependent on energy imports and is exposed to energy insecurity in the future. But Turkey does have huge potential for renewable energy utilization. There has been a huge growth in the construction of wind power plants and small hydropower plants in recent years. To meet the growing energy demand, the Turkish Government has adopted incentives for investments in renewable energy production. Wind energy investments evaluated the impact of feed-in tariffs (FIT) based on three scenarios that are optimistic, realistic and pessimistic with APLUS software that is developed for rational evaluation for energy market. Results of the three scenarios are evaluated in the view of electricity market for Turkey.
Abstract: The final step to complete the “Analytical Systems
Engineering Process” is the “Allocated Architecture” in which all
Functional Requirements (FRs) of an engineering system must be
allocated into their corresponding Physical Components (PCs). At
this step, any design for developing the system’s allocated
architecture in which no clear pattern of assigning the exclusive
“responsibility” of each PC for fulfilling the allocated FR(s) can be
found is considered a poor design that may cause difficulties in
determining the specific PC(s) which has (have) failed to satisfy a
given FR successfully. The present study utilizes the Axiomatic
Design method principles to mathematically address this problem and
establishes an “Axiomatic Model” as a solution for reaching good
alternatives for developing the allocated architecture. This study
proposes a “loss Function”, as a quantitative criterion to monetarily
compare non-ideal designs for developing the allocated architecture
and choose the one which imposes relatively lower cost to the
system’s stakeholders. For the case-study, we use the existing design
of U. S. electricity marketing subsystem, based on data provided by
the U.S. Energy Information Administration (EIA). The result for
2012 shows the symptoms of a poor design and ineffectiveness due to
coupling among the FRs of this subsystem.
Abstract: Electricity spot prices are highly volatile under
optimal generation capacity scenarios due to factors such as nonstorability
of electricity, peak demand at certain periods, generator
outages, fuel uncertainty for renewable energy generators, huge
investments and time needed for generation capacity expansion etc.
As a result market participants are exposed to price and volume risk,
which has led to the development of risk management practices. This
paper provides an overview of risk management practices by market
participants in electricity markets using financial derivatives.
Abstract: Ancillary services are support services which are
essential for humanizing and enhancing the reliability and security of
the electric power system. Reactive power ancillary service is one of
the important ancillary services in a restructured electricity market
which determines the cost of supplying ancillary services and finding
of how this cost would change with respect to operating decisions.
This paper presents a new formation that can be used to minimize the
Independent System Operator (ISO)’s total payment for reactive
power ancillary service. The modified power flow tracing algorithm
estimates the availability of reserve reactive power for ancillary
service. In order to find optimum reactive power dispatch,
Biogeography based optimization method (BPO) is proposed. Market
Reactive Clearing Price (MRCP) is then estimated and it encourages
generator companies (GENCOs) to participate in an ancillary service.
Finally, optimal weighting factor and real time utilization factor of
reactive power give the minimum ISO’s total payment. The
effectiveness of proposed design is verified using IEEE 30 bus
system.
Abstract: In the competitive electricity market environment, the profit of the pumped-storage plant in the energy market can be maximized by operating it as a generator, when market clearing price is high and as a pump, to pump water from lower reservoir to upper reservoir, when the price is low. An optimal self-scheduling plan has been developed for a pumped-storage plant, carried out on weekly basis in order to maximize the profit of the plant, keeping into account of all the major uncertainties such as the sudden ancillary service delivery request and the price forecasting errors. For a pumped storage power plant to operate in a real time market successive self scheduling has to be done by considering the forecast of the day-ahead market and the modified reservoir storage due to the ancillary service request of the previous day. Sliding Window Technique has been used for successive self scheduling to ensure profit for the plant.
Abstract: Complex power flow distribution factors, which relate line complex power flows to the bus injected complex powers, have been widely used in various power system planning and analysis studies. In particular, AC distribution factors have been used extensively in the recent power and energy pricing studies in free electricity market field. As was demonstrated in the existing literature, many of the electricity market related costing studies rely on the use of the distribution factors. These known distribution factors, whether the injection shift factors (ISF’s) or power transfer distribution factors (PTDF’s), are linear approximations of the first order sensitivities of the active power flows with respect to various variables. This paper presents a novel model for evaluating the universal distribution factors (UDF’s), which are appropriate for an extensive range of power systems analysis and free electricity market studies. These distribution factors are used for the calculations of lines complex power flows and its independent of bus power injections, they are compact matrix-form expressions with total flexibility in determining the position on the line at which line flows are measured. The proposed approach was tested on IEEE 9-Bus system. Numerical results demonstrate that the proposed approach is very accurate compared with exact method.
Abstract: In a deregulated power system structure, power producers and customers share a common transmission network for wheeling power from the point of generation to the point of consumption. All parties in this open access environment may try to purchase the energy from the cheaper source for greater profit margins, which may lead to overloading and congestion of certain corridors of the transmission network. This may result in violation of line flow, voltage and stability limits and thereby undermine the system security. Utilities therefore need to determine adequately their available transfer capability (ATC) to ensure that system reliability is maintained while serving a wide range of bilateral and multilateral transactions. This paper presents power transfer distribution factor based on AC load flow for the determination and enhancement of ATC. The study has been carried out for IEEE 24 bus Reliability Test System.
Abstract: This paper deals with the optimal choice and location of FACTS devices in deregulated power systems using Differential Evolution algorithm. The main objective of this paper is to achieve the power system economic generation allocation and dispatch in deregulated electricity market. Using the proposed method, the locations of the FACTS devices, their types and ratings are optimized simultaneously. Different kinds of FACTS devices such as TCSC and SVC are simulated in this study. Furthermore, their investment costs are also considered. Simulation results validate the capability of this new approach in minimizing the overall system cost function, which includes the investment costs of the FACTS devices and the bid offers of the market participants. The proposed algorithm is an effective and practical method for the choice and location of suitable FACTS devices in deregulated electricity market.
Abstract: This paper deals with the optimal choice and allocation of multi FACTS devices in Deregulated power system using Evolutionary Programming method. The objective is to achieve the power system economic generation allocation and dispatch in deregulated electricity market. Using the proposed method, the locations of the FACTS devices, their types and ratings are optimized simultaneously. Different kinds of FACTS devices are simulated in this study such as UPFC, TCSC, TCPST, and SVC. Simulation results validate the capability of this new approach in minimizing the overall system cost function, which includes the investment costs of the FACTS devices and the bid offers of the market participants. The proposed algorithm is an effective and practical method for the choice and allocation of FACTS devices in deregulated electricity market environment. The standard data of IEEE 14 Bus systems has been taken into account and simulated with aid of MAT-lab software and results were obtained.
Abstract: German electricity European options on futures using
Lévy processes for the underlying asset are examined. Implied
volatility evolution, under each of the considered models, is
discussed after calibrating for the Merton jump diffusion (MJD),
variance gamma (VG), normal inverse Gaussian (NIG), Carr, Geman,
Madan and Yor (CGMY) and the Black and Scholes (B&S) model.
Implied volatility is examined for the entire sample period, revealing
some curious features about market evolution, where data fitting
performances of the five models are compared. It is shown that
variance gamma processes provide relatively better results and that
implied volatility shows significant differences through time, having
increasingly evolved. Volatility changes for changed uncertainty, or
else, increasing futures prices and there is evidence for the need to
account for seasonality when modelling both electricity spot/futures
prices and volatility.
Abstract: Due to the liberalization of countless electricity markets, load forecasting has become crucial to all public utilities for which electricity is a strategic variable. With the goal of contributing to the forecasting process inside public utilities, this paper addresses the issue of applying the Holt-Winters exponential smoothing technique and the time series analysis for forecasting the hourly electricity load curve of the Italian railways. The results of the analysis confirm the accuracy of the two models and therefore the relevance of forecasting inside public utilities.