Electricity Markets pp 247-261 | Cite as

# Bidding and Offering Strategies for Integration of Battery Storage System and Wind Turbine

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## Abstract

Utilization of wind turbine as renewable energies is increased due to environmental issues. In this work, a new structure is presented for integration of battery storage system (BSS) and wind turbine (WT) in the operation mode. In the proposed model, the BSS can be supplied and charged through WT or power procurement from the upstream grid. Stored power in the BSS can be sold to electricity market in high price in peak periods while by considering power market prices, the output power of WT can be directly injected to the electricity grid or can charge the BSS. A stochastic framework is proposed to consider uncertainties of wind speed and market price. Wind speed and market price scenarios are produced with Weibull and normal distribution functions, respectively. An MIP method is used to create the optimal offering and bidding curves for each hour in order to bid/offer for purchasing/selling power from/to upstream grid. Finally, obtained results are presented and discussed.

## Keywords

WT BSS Renewable energy Stochastic framework bidding and offering## Nomenclature

## Indices

*s*,*t*Scenario, time

## Input

*P*_{r}The rated power of WT

- \( {P}_{\mathrm{min}}^{\mathrm{ch}} \)
Minimum amount of charging power of the BSS

- \( {P}_{\mathrm{max}}^{\mathrm{ch}} \)
Maximum amount of charging power of the BSS

- \( {P}_{\mathrm{min}}^{\mathrm{disc}} \)
Minimum amount of discharging power of the BSS

- \( {P}_{\mathrm{max}}^{\mathrm{disc}} \)
Maximum amount of discharging power of the BSS

- \( {P}_{\mathrm{max}}^{\mathrm{proc}} \)
Maximum limit of power procurement from the grid

- \( {P}_{\mathrm{max}}^{\mathrm{sell}} \)
Maximum limit of sold power to the grid

- \( {\mathrm{SOC}}_{\mathrm{max}}^{\mathrm{B}},{\mathrm{SOC}}_{\mathrm{min}}^{\mathrm{B}} \)
Maximum and minimum limits of the BSS’s SOC

*V*_{cut ‐ out},*V*_{cut ‐ in},*V*_{r}The cut-out, cut-in, and rated speeds of WT

*η*_{disc},*η*_{ch}Discharging and charging efficiencies of the BSS

*ρ*_{s}Probability of the each scenario

*λ*_{t, s}Power price

*V*_{t, s}The predicated wind speed

## Variables

- \( {P}_{t,s}^{\mathrm{sell}} \)
Sold power to the market

- \( {P}_{t,s}^{\mathrm{pro}} \)
Procured power from the market

- \( {P}_{t,s}^{\mathrm{WT}} \)
Total produced power by the WT

- \( {P}_{t,s}^{\mathrm{WT}\hbox{-} \mathrm{G}} \)
Injected power from WT to the grid

- \( {P}_{t,s}^{\mathrm{WT}\hbox{-} \mathrm{B}} \)
Injected power from WT to the BSS

- \( {P}_{t,s}^{\mathrm{B}\hbox{-} \mathrm{G}} \)
Injected power from the BSS to the grid

- \( {P}_{t,s}^{\mathrm{purchase}} \)
Purchased power from the upstream grid

- \( {P}_{t,s}^{\mathrm{G}\hbox{-} \mathrm{B}} \)
Procured power by the BSS from upstream grid

- \( {\mathrm{SOC}}_{t,s}^{\mathrm{B}} \)
State of charge of the BSS

- \( {U}_{t,s}^{\mathrm{disc}},{U}_{t,s}^{\mathrm{ch}} \)
Binary variables of the discharging and charging states of the BSS

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