Robust Risk Management of Retail Energy Service Providers in Midterm Electricity Energy Markets under Unstructured Uncertainty
Publication: Journal of Energy Engineering
Volume 143, Issue 5
Abstract
Retailers purchase electric energy from the wholesale market and sell it to the customers at regulated fixed prices in deregulated power systems. A retailer has multiple choices for electricity procurement, such as spot market, bilateral contracts, and a self-generating facility. However, the retailer faces challenges such as the pool price and electricity demand uncertainty. To meet these challenges, this paper proposes a midterm framework based on the information gap decision theory (IGDT) to evaluate the robust or opportunity strategy. In this approach, the composition of two conflicting portfolio investment goals is considered including obtaining high expected portfolio return and selling price designation, as well as controlling risk. A real case study is used to demonstrate the effectiveness of the proposed framework.
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Published In
Journal of Energy Engineering
Volume 143 • Issue 5 • October 2017
Copyright
©2017 American Society of Civil Engineers.
History
Received: Jun 15, 2016
Accepted: Feb 16, 2017
Published online: May 11, 2017
Published in print: Oct 1, 2017
Discussion open until: Oct 11, 2017
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