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Related papers: Risk- and Variance-Aware Electricity Pricing

200 papers

To manage renewable generation and load consumption uncertainty, chance-constrained optimal power flow (OPF) formulations and various solution methodologies have been proposed. However, conventional solution approaches often rely on…

Optimization and Control · Mathematics 2019-08-06 Bowen Li , Ruiwei Jiang , Johanna L. Mathieu

Wind energy has emerged as one of the most vital and economically viable forms of renewable energy. The integration of wind energy sources into power grids across the globe has been increasing substantially, largely due to the higher levels…

Optimization and Control · Mathematics 2024-10-16 Narin Nemati , Amin Ahmadi Kasani

This paper studies the problem of stochastic dynamic pricing and energy management policy for electric vehicle (EV) charging service providers. In the presence of renewable energy integration and energy storage system, EV charging service…

Signal Processing · Electrical Eng. & Systems 2018-01-09 Chao Luo , Yih-Fang Huang , Vijay Gupta

Weather, technological and regulatory uncertainties expose actors in highly renewable electricity markets to substantial price and volume risks. Two-way Contracts for Difference (CfDs) can mitigate these risks. They stipulate payments…

General Economics · Economics 2025-12-22 Silke Johanndeiter , Jonas Finke , Justus Heuer

In this paper, we apply Value-at-Risk (VaR) approaches on the problem of yearly electric generation management. In a classical approach, the future is modelled as a markov chain and the goal is to minimize the average generation cost over…

Optimization and Control · Mathematics 2007-05-23 Vincent Guigues , Papa-Momar Ndiaye

Modern market management systems continue to evolve due to the intentions to improve system security and reliability. This evolvement has been leading to a transition of market auction models from a deterministic structure with…

Systems and Control · Electrical Eng. & Systems 2021-02-22 Mohammad Ghaljehei , Mojdeh Khorsand

The rapid growth of weather-dependent renewable generation increases price volatility and imbalance penalty risk in power markets, creating the need for advanced quantitative trading strategies. We develop a data-driven continuous-time…

Mathematical Finance · Quantitative Finance 2026-05-01 Chiheb Ben Hammouda , Michael Samet , Raúl Tempone

Contemporary electricity distribution systems are being challenged by the variability of renewable energy sources. Slow response times and long energy management periods cannot efficiently integrate intermittent renewable generation and…

Systems and Control · Computer Science 2016-02-02 Gang Wang , Vassilis Kekatos , Antonio J. Conejo , Georgios B. Giannakis

The optimal power flow problem plays an important role in the market clearing and operation of electric power systems. However, with increasing uncertainty from renewable energy operation, the optimal operating point of the system changes…

Optimization and Control · Mathematics 2018-01-25 Yeesian Ng , Sidhant Misra , Line A. Roald , Scott Backhaus

This paper introduces a stochastic AC-OPF (SOPF) for the flexibility management of electric vehicle (EV) charging pools in distribution networks under uncertainty. The SOPF considers discrete utility functions from charging pools as a…

Systems and Control · Electrical Eng. & Systems 2024-03-08 Juan S. Giraldo , Nataly Banol Arias , Pedro P. Vergara , Maria Vlasiou , Gerwin Hoogsteen , Johann L. Hurink

The rapid expansion of wind and solar energy leads to an increasing volatility in the electricity generation. Previous studies have shown that storage devices provide an opportunity to balance fluctuations in the power grid. An economical…

Optimization and Control · Mathematics 2017-11-06 Lars Siemer , Wided Medjroubi

This paper proposes a novel approach for optimal energy and reserve scheduling of wind farms by explicitly modelling wake interactions to enhance market participation and operational efficiency. Conventional methods often neglect wake…

Fluid Dynamics · Physics 2026-04-14 Marin Mabboux-Fort , Majid Bastankhah , Peter C Matthews , Mokhtar Bozorg

This paper addresses a class of robust stochastic optimal control problems. Its main contribution lies in the introduction of a general optimization model with variance penalization and an associated solution algorithm that improves…

Optimization and Control · Mathematics 2025-10-21 Paul Malisani , Adrien Spagnol , Vivien Smis-Michel

The growing amount of fluctuating renewable infeeds and market liberalization increases uncertainty in power system operation. To capture the influence of fluctuations in operational planning, we model the forecast errors of the uncertain…

Optimization and Control · Mathematics 2015-08-26 Line Roald , Frauke Oldewurtel , Bart Van Parys , Göran Andersson

The uncertainty of multiple power loads and renewable energy generations (PLREG) in power systems increases the complexity of power flow analysis for decision-makers. The chance-constrained method can be applied to model the optimization…

Optimization and Control · Mathematics 2021-11-12 Ren Hu , Qifeng Li

The chance constrained optimal power flow (CC-OPF) essentially finds the low-cost generation dispatch scheme ensuring operational constraints are met with a specified probability, termed the security level. While the security level is a…

Optimization and Control · Mathematics 2025-06-24 Shenglu Wang , Kairui Feng , Mengqi Xue , Yue Song

In recent years, there has been a huge trend to penetrate renewable energy sources into energy networks. However, these sources introduce uncertain power generation depending on environmental conditions. Therefore, finding 'optimal' and…

Optimization and Control · Mathematics 2019-02-26 Erfan Mohagheghi , Abebe Geletu , Nils Bremser , Mansour Alramlawi , Aouss Gabash , Pu Li

This paper adopts a two-stage sample robust optimization (SRO) model to address the wind power penetrated unit commitment optimal energy flow (UC-OEF) problem for IEGSs. The two-stage SRO model can be approximately transformed into a…

Optimization and Control · Mathematics 2024-01-02 Rong-Peng Liu , Yunhe Hou , Yujia Li , Shunbo Lei , Wei Wei , Xiaozhe Wang

We propose a new forward electricity market framework that admits heterogeneous market participants with second-order cone strategy sets, who accurately express the nonlinearities in their costs and constraints through conic bids, and a…

Theoretical Economics · Economics 2022-12-20 Anubhav Ratha , Pierre Pinson , Hélène Le Cadre , Ana Virag , Jalal Kazempour

The price of electricity is far more volatile than that of other commodities normally noted for extreme volatility. The possibility of extreme price movements increases the risk of trading in electricity markets. However, underlying the…

Statistical Mechanics · Physics 2008-12-02 Rafal Weron
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