Electricity Markets with Increasing Levels of Renewable Generation: Structure, Operation, Agent-based Simulation, and Emerging Designs

Description

This book describes the common ground between electricity markets (EMs) and software agents (or artificial intelligence generally). It presents an up-to-date introduction to EMs and intelligent agents, and offers a comprehensive description of the research advances and key achievements related to existing and emerging market designs to reliably and efficiently manage the potential challenges of variable generation (VG). Most EMs are unique in their complex relationships between economics and the physics of energy, but were created without the notion that large penetrations of variable generation (VG) would be part of the supply mix. An advanced multi-agent approach simulates the behavior of power markets over time, particularly markets with large-scale penetrations of renewable resources. It is intended as a reference book for researchers, academics and industry practitioners, but given the scope of the chapters and the highly accessible style, the book also provides a coherent foundation for several different graduate courses. Front Matter ....Pages i-xxvi Front Matter ....Pages 1-1 Overview of Wholesale Electricity Markets (Erik Ela, Michael Milligan, Aaron Bloom, Jaquelin Cochran, Audun Botterud, Aaron Townsend et al.)....Pages 3-21 Electricity Markets and Intelligent Agents Part I: Market Architecture and Structure (Fernando Lopes)....Pages 23-48 Electricity Markets and Intelligent Agents Part II: Agent Architectures and Capabilities (Fernando Lopes, Helder Coelho)....Pages 49-77 Front Matter ....Pages 79-79 Market Prices in a Power Market with More Than 50% Wind Power (Klaus Skytte, Poul Erik Grohnheit)....Pages 81-94 Incentivizing Flexibility in System Operations (Erik Ela, Michael Milligan, Aaron Bloom, Audun Botterud, Aaron Townsend, Todd Levin)....Pages 95-127 Long-Term Resource Adequacy, Long-Term Flexibility Requirements, and Revenue Sufficiency (Erik Ela, Michael Milligan, Aaron Bloom, Audun Botterud, Aaron Townsend, Todd Levin)....Pages 129-164 Requirements for Strategic Reserves in a Liberalized Market with Wind Power (Lennart Söder)....Pages 165-185 Front Matter ....Pages 187-187 MATREM: An Agent-Based Simulation Tool for Electricity Markets (Fernando Lopes)....Pages 189-225 Renewable Generation, Support Policies and the Merit Order Effect: A Comprehensive Overview and the Case of Wind Power in Portugal (Fernando Lopes, João Sá, João Santana)....Pages 227-263 Demand Response in Electricity Markets: An Overview and a Study of the Price-Effect on the Iberian Daily Market (Fernando Lopes, Hugo Algarvio)....Pages 265-303 Multi-agent Electricity Markets and Smart Grids Simulation with Connection to Real Physical Resources (Tiago Pinto, Zita Vale, Isabel Praça, Luis Gomes, Pedro Faria)....Pages 305-327