Intermittency and ancillary service cost allocation: A game-theoretic approach swegrids-logo

SweGRIDS research area SMARTPOWER
SweGRIDS project code SP6
Project type PhD
Status running
Researcher Ehsan Davari Nejad   (webpage)
University KTH (EPE)
Project period 2015-09-10 to 2020-09-01   
Project supervisor Mohammad Reza Hesamzadeh   (webpage)
Industrial sponsors Svenska kraftnät


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Project abstract

In recent decades, there has been a rapid raise in penetration of renewables in electrical power systems. This type of providing energy, despite looking green and clean, introduces some challenges for power systems. One of these challenges is raised from the fact that this part of energy production does not provide inertia for the network as the conventional synchronous generators do. Hence, in case of an outage or any other type of contingency, there will be problems regarding frequency drop and rate of change of frequency. So, we should still keep some conventional units in reserve to have some rotating mass so as to provide inertia. As a result, we should pay for this inertia. Thus, frequency response has a cost. My project aims at finding a price for this inertia. The project is currently focusing on frequency markets and will proceed to other ancillary services in future.


Summary of work

2015 (3 Month) . Literature review to understand different aspects of the problem. Mathematical derivation of formulation of some constraints to be integrated in the conventional UC to build up an ICUC using swing equation and One-Machine model. Simulation of the proposed formulation, first on an illustrative test case and then on Nordic 32 & 44 bus test systems and Calculation of the cost of inertia and observation of its impact on total dispatch cost.

2016. Employing Linearization techniques to change from a MILP to LP and observation of the impact of frequency response on prices (key point: wind and solar) and proposing a method to make fair uplift payments and nonconvex pricing of inertia. Building up a more precise model to observe inertia: Making use of Differential equations instead of algebraic equations to observe the impact of load damping factor on frequency response and prices. Employing other linearization techniques to change from MINLP to MILP in order to integrate the differential equations into unit commitment formulation.

2017. I have been working on pricing methods and recovery payments to make it possible for frequency response providers to compete in market. Also, I have implemented a game theoretic approach to price electricity and frequency independently from each other (The result of which will be presented in my second paper). I have also been preparing two journal papers, one of which is finished and is currently ready for submission. The second one is still under construction. Also, a conference paper is becoming ready and will be submitted soon.

2018. We have reviewed both papers several times and added more complex mathematics to consider both intermittent nature of the renewable energy sources through a stochastic approach and also allocate the market payments and charges for energy and primary frequency response through a game theoretic approach. Furthermore, I passed a number of courses to obtain the knowledge to enter the next phase of the project, which is more complex in terms of mathematical formulation. I also passed most of the mandatory courses for the InnoEnergy program. Now, both my papers are submitted and I am doing my 50% seminar in Dec 2018.

2019. A data-driven method was used to consider stochasticity and a game-theoretic cost allocation in order to allocate the costs to energy and frequency arresting service, considering complementary slackness conditions in our main optimization problem. I also passed two courses on game theory and data science.


Event log

2017. Presented the Work in IFORS 2017 Conference

2017. Accepted in InnoEnergy PhD program


Project reference-group

Hector Chavez,  University of Santiago
Mats Nilson,  Shadow Analysis AB
Martin Nilsson,  Svenska kraftnät
Jenny Lagerquist,  Svenska kraftnät


Publications by this researcher

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Publication list last updated from DiVA on 2021-09-18 22:02.


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Last generated: 2021-09-18