Microgrid Bidding Strategy with Uncertain Renewable Sources and Interruptible Loads in Energy and Spinning Reserve Markets

A microgrid scheme typically consist of distributed generation sources along with controllable/interruptible loads in addition to storage facilities. The scheme is an effective paradigm to integrate dispatchable and non-dispatchable generation sources in the low voltage networks on the local scale. The increasing penetration of intermittent renewable energies in the markets has deteriorated the complexity of competitive market models due to uncertainties. In this paper, an optimal microgrid bidding strategy is introduced for participation in the day-ahead energy market and spinning reserve market. The strategy takes into account the uncertainty of wind and solar supply patterns, load variations, and energy price fluctuations in the electricity market. The proposed model of a microgrid sample was simulated using the GAMS software. A comparison was then conducted between the results of the proposed strategy and the deterministic bidding strategy approach to showcase the optimality and superiority of the former.