Stochastic security-constrained joint market clearing for energy and reserves auctions considering uncertainties of wind power producers and unreliable equipment

Abstract

Considering the economical and environmental significance of the integration of wind units into power systems, this article proposes a stochastic market clearing model for joint energy and reserve auctions wherein wind power producers can participate in the electricity market along with other participants. The proposed model takes into account the uncertainty of wind power and forced outages of generating units and branches. Uncertain resources in the power system are modeled using a new scenario generation technique. After scenario reduction, the selected scenarios are included in the stochastic joint market clearing model with AC network constraints, leading to a mixed integer nonlinear programming formulation. The proposed stochastic programming model is tested on the IEEE Reliability Test System. Obtained results confirm the validity of the developed approach. Copyright © 2012 John Wiley & Sons, Ltd.