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This paper proposes a novel method to generate bid bounds that can serve as offer caps for energy storage in electricity markets to help reduce system costs and regulate potential market power exercises. We derive the bid bounds based on a…

Theoretical Economics · Economics 2026-05-08 Ning Qi , Bolun Xu

Energy storage promotes the integration of renewables by operating with charge and discharge policies that balance an intermittent power supply. A key challenge in this emerging sector is how to optimize the operation of storage assets…

Energy storage systems (ESSs) are essential components of the future smart grid to smooth out the fluctuating output of renewable energy generators. However, installing large number of ESSs for individual energy consumers may not be…

Systems and Control · Computer Science 2016-07-25 Katayoun Rahbar , Mohammad R. Vedady Moghadam , Sanjib Kumar Panda , Thomas Reindl

The deployment of renewable energy technologies supposes the connection to the power grid of many new, distributed, and variable electricity production facilities. Among the investments deeply needed for a successful shift to clean energy,…

Physics and Society · Physics 2026-04-07 Emile Emery , Sébastien Aumaître , Hervé Bercegol

Financial Transmission Rights (FTRs) enable electricity market participants to hedge congestion risk in Day Ahead Market (DAM) operations, but for the market to be solvent, Independent System Operators (ISOs) must ensure that FTR payouts do…

Systems and Control · Electrical Eng. & Systems 2026-04-21 Erich Trieschman , Saurabh Amin

In recent years, frequent extreme events have put forward higher requirements for improving the resilience of distribution networks (DNs). Introducing energy storage integrated with soft open point (E-SOP) is one of the effective ways to…

Systems and Control · Electrical Eng. & Systems 2025-11-13 Bingkai Huang , Yuxiong Huang , Qianwen Hu , Gengfeng Li , Zhaohong Bie

The integration of large shares of electricity produced by non-dispatchable Renewable Energy Sources (RES) leads to an increasingly volatile energy generation side, with temporary local overproduction. The application of energy storage…

Optimization and Control · Mathematics 2016-03-14 Lars Siemer , Frank Schöpfer , David Kleinhans

It is anticipated that large-scale energy storage facility (ESF) will become an essential part of the future energy markets to increase the penetration of renewables. In this paper, a new optimization algorithm is developed to participate…

Optimization and Control · Mathematics 2022-03-02 Farhad Samadi Gazijahani , Rasoul Esmaeilzadeh

The power system needs more transmission capacity to deal with the increasing integration of renewable energy resources. The battery energy storage systems (BESSs) are effective to enhance the grid capacity and relieve the transmission…

Systems and Control · Electrical Eng. & Systems 2021-10-18 Zhongyang Zhao , Caisheng Wang , Masoud H. Nazari

The increasing penetration of inverter-based renewable generation has significantly reduced system inertia, making modern power grids more vulnerable to rapid frequency deviations following disturbances. While a wide range of flexible…

Systems and Control · Electrical Eng. & Systems 2025-12-18 Xiaojie Tao , Rajit Gadh

Many residential prosumers exhibit a high price-tolerance for household electricity bills and a low response to price incentives. This is because the household electricity bills are not inherently high, and the potential for saving on…

Systems and Control · Electrical Eng. & Systems 2025-01-15 Xin Lu , Jing Qiu , Cuo Zhang , Gang Lei , Jianguo Zhu

Recently, we proposed a capacity expansion approach for transmission grids that combines the upgrade of transmission capacity with a transition in system structure to improve grid operation. The key to this concept is a particular hybrid…

Optimization and Control · Mathematics 2018-11-27 Matthias Hotz , Wolfgang Utschick

Electricity distribution networks that contain large photovoltaic solar systems can experience power flows between customers. These may create both technical and socio-economic challenges. This paper establishes how these challenges can be…

Physics and Society · Physics 2021-09-07 B. C. P. Sturmberg , M. E. Shaw , C. P. Mediwaththe , H. Ransan-Cooper , B. Weise , M. Thomas , L. Blackhall

High shares of variable renewable energy necessitate substantial energy storage capacity. However, it remains unclear how to design a market that, on the one hand, ensures a stable and sufficient income for storage firms, and, on the other…

Systems and Control · Electrical Eng. & Systems 2024-02-06 Aviad Navon , Juri Belikov , Ariel Orda , Yoash Levron

Deploying distributed renewable energy at the demand side is an important measure to implement a sustainable society. However, the massive small solar and wind generation units are beyond the control of a central operator. To encourage…

Optimization and Control · Mathematics 2021-02-23 Yue Chen , Wei Wei , Han Wang , Quan Zhou , João P. S. Catalão

Renewable energy brings huge uncertainties to the power system, which challenges the traditional power system operation with limited flexible resources. One promising solution is to introduce dynamic pricing to more consumers, which, if…

Systems and Control · Electrical Eng. & Systems 2019-11-19 Jiaman Wu , Zhiqi Wang , Yang Yu , Chenye Wu

In this paper, we propose a model of decentralized energy storages, who serve as instruments to shift energy supply intertemporally. From storages' perspective, we investigate their optimal buying or selling decisions under market…

Optimization and Control · Mathematics 2017-02-27 Qiao-Chu He , Yun Yang , Baosen Zhang

In this paper, we propose a high-level Stochastic steady-state model to analyze the value of co-located energy storage systems for wind power producers that participate in an electricity market through Forward or Day Ahead contracts. In…

Systems and Control · Electrical Eng. & Systems 2022-07-27 Tomas Valencia Zuluaga , Shmuel S. Oren

Increasing wind turbines (WT) penetration and low carbon demand can potentially lead to two different flow peaks, generation and load, within distribution networks. This will not only constrain WT penetration but also pose serious threats…

Optimization and Control · Mathematics 2018-02-13 Xiao Yanchi , Bruce Vargas , Mohammd Hamdi

Energy storage systems (ESSs) are essential components of the future smart grids with high penetration of renewable energy sources. However, deploying individual ESSs for all energy consumers, especially in large systems, may not be…

Systems and Control · Computer Science 2017-06-05 Katayoun Rahbar , Mohammad R. Vedady Moghadam , Sanjib Kumar Panda