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Related papers: Learning Reachability of Energy Storage Arbitrage

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This paper introduces a unified framework for battery energy arbitrage under uncertain market prices that integrates chance-constrained terminal state-of-charge requirements with online threshold policies. We first cast the multi-interval…

Systems and Control · Electrical Eng. & Systems 2026-01-21 Tomás Tapia , Yury Dvorkin

Energy storage devices, such as batteries, thermal energy storages, and hydrogen systems, can help mitigate climate change by ensuring a more stable and sustainable power supply. To maximize the effectiveness of such energy storage,…

Machine Learning · Computer Science 2024-05-21 Jaeik Jeong , Tai-Yeon Ku , Wan-Ki Park

In this paper, we derive a temporal arbitrage policy for storage via reinforcement learning. Real-time price arbitrage is an important source of revenue for storage units, but designing good strategies have proven to be difficult because of…

Systems and Control · Computer Science 2020-10-27 Hao Wang , Baosen Zhang

This paper proposes a novel energy storage price arbitrage algorithm combining supervised learning with dynamic programming. The proposed approach uses a neural network to directly predicts the opportunity cost at different energy storage…

Systems and Control · Electrical Eng. & Systems 2022-11-22 Ningkun Zheng , Xiaoxiang Liu , Bolun Xu , Yuanyuan Shi

Energy storage resources must consider both price uncertainties and their physical operating characteristics when participating in wholesale electricity markets. This is a challenging problem as electricity prices are highly volatile, and…

Machine Learning · Computer Science 2023-06-02 Yousuf Baker , Ningkun Zheng , Bolun Xu

This work proposes a conformal approach for energy storage arbitrage to control the downside risk arising from imperfect price forecasts. Energy storage arbitrage relies solely on predictions of future market prices, while inaccurate price…

Systems and Control · Electrical Eng. & Systems 2025-12-10 Yiqian Wu , Ming Yi , Bolun Xu , James Anderson

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…

As the share of variable renewable energy sources increases in the electricity mix, new solutions are needed to build a flexible and reliable grid. Energy arbitrage with battery storage systems supports renewable energy integration into the…

Optimization and Control · Mathematics 2025-12-17 Alban Puech , Gorazd Dimitrov , Claudia D'Ambrosio

Electricity price prediction plays a vital role in energy storage system (ESS) management. Current prediction models focus on reducing prediction errors but overlook their impact on downstream decision-making. So this paper proposes a…

Machine Learning · Computer Science 2023-05-02 Linwei Sang , Yinliang Xu , Huan Long , Qinran Hu , Hongbin Sun

Reduced installation and operating costs give energy storage systems an opportunity to participate actively and profitably in electricity markets. In addition to providing ancillary services, energy storage systems can also arbitrage…

Optimization and Control · Mathematics 2017-02-17 Yishen Wang , Yury Dvorkin , Ricardo Fernández-Blanco , Bolun Xu , Daniel S. Kirschen

We investigate the profitability and risk of energy storage arbitrage in electricity markets under price uncertainty, exploring both robust and chance-constrained optimization approaches. We analyze various uncertainty representations,…

Optimization and Control · Mathematics 2025-01-16 Yiqian Wu , Bolun Xu , James Anderson

The adoption of electric vehicles (EVs), including electric taxis and buses, as a mode of transportation, is rapidly increasing in cities. In addition to providing economic and environmental benefits, these fleets can potentially…

Optimization and Control · Mathematics 2023-11-21 Mostafa Mohammadian , Constance Crozier , Kyri Baker

We characterize profit-maximizing operating strategies, over some time horizon [0,T], for an energy store which is trading in an arbitrage market. Our theory allows for leakage, operating inefficiencies, operating constraints and general…

Optimization and Control · Mathematics 2014-12-03 Lisa Flatley , Robert S. MacKay , Michael Waterson

This paper proposes a risk-averse approach to energy storage price arbitrage, leveraging conformal uncertainty quantification for electricity price predictions. The method addresses the significant challenges posed by the inherent…

Optimization and Control · Mathematics 2024-12-11 Saud Alghumayjan , Ming Yi , Bolun Xu

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 arbitrage is one of the most profitable sources of income for battery operators, generating revenues by buying and selling electricity at different prices. Forecasting these revenues is challenging due to the inherent uncertainty of…

Machine Learning · Computer Science 2024-10-29 Manuel Sage , Joshua Campbell , Yaoyao Fiona Zhao

In this letter, we address the problem of controlling energy storage systems (ESSs) for arbitrage in real-time electricity markets under price uncertainty. We first formulate this problem as a Markov decision process, and then develop a…

Machine Learning · Computer Science 2019-05-07 Hanchen Xu , Xiao Li , Xiangyu Zhang , Junbo Zhang

A continuous rise in the penetration of renewable energy sources, along with the use of the single imbalance pricing, provides a new opportunity for balance responsible parties to reduce their cost through energy arbitrage in the imbalance…

Systems and Control · Electrical Eng. & Systems 2024-05-01 Seyed Soroush Karimi Madahi , Gargya Gokhale , Marie-Sophie Verwee , Bert Claessens , Chris Develder

This paper presents a computation-efficient stochastic dynamic programming algorithm for solving energy storage price arbitrage considering variable charge and discharge efficiencies. We formulate the price arbitrage problem using…

Optimization and Control · Mathematics 2022-07-08 Ningkun Zheng , Joshua Jaworski , Bolun Xu

Electricity prices and the end user net load vary with time. Electricity consumers equipped with energy storage devices can perform energy arbitrage, i.e., buy when energy is cheap or when there is a deficit of energy, and sell it when it…

Systems and Control · Electrical Eng. & Systems 2020-02-06 Md Umar Hashmi , Arpan Mukhopadhyay , Ana Bušić , Jocelyne Elias
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