Bidding and Offering Models in Generation-Grid-Load-Storage Transactions Based on Flexible Order Types

The increase in the installation of renewable energy generating units brings great challenges to power systems in terms of balancing their intermittence and fluctuation. The concept of the interactive transaction of "Generation-Grid-Load-Storage" is therefore proposed, for exploring the adjustable potential of the decentralized resources, such as the flexible load and energy storage, in China's electricity market reform. To better help these decentralized resources with different characteristics to participate in the electricity market, this paper proposes bidding and offering models based on flexible order types, which are different from those of traditional generating units. First, the hourly curve-based bidding and offering models of wind generating units are developed considering the chronological and stochastic characteristics of their generating capacity and penalty cost. Then, the bidding and offering models of large industrial users and small thermostatically controlled loads are developed based on the utility function and comfort loss, respectively. Moreover, the bidding and offering models of energy storage are developed considering the degradation cost. Finally, numerical examples are performed to validate the proposed models.