Multi-Temporal Optimization of Virtual Power Plant in Energy-Frequency Regulation Market Under Uncertainties

Abstract

The virtual power plant (VPP) facilitates the coordinated optimization of diverse forms of electrical energy through the aggregation and control of distributed energy resources (DERs), offering as a potential resource for frequency regulation to enhance the power system flexibility. To fully exploit the flexibility of DER and enhance the revenue of VPP, this paper proposes a multi-temporal optimization strategy of VPP in the energy-frequency regulation (EFR) market under the uncertainties of wind power (WP), photovoltaic (PV), and market price. Firstly, all schedulable electric vehicles (EVs) are aggregated into an electric vehicle cluster (EVC), and the schedulable domain evaluation model of EVC is established. A day-ahead energy bidding model based on Stackelberg game is also established for VPP and EVC. Secondly, on this basis, the multi-temporal optimization model of VPP in the EFR market is proposed. To manage risks stemming from the uncertainties of WP, PV, and market price, the concept of conditional value at risk (CVaR) is integrated into the strategy, effectively balancing the bidding benefits and associated risks. Finally, the results based on operational data from a provincial electricity market demonstrate that the proposed strategy enhances comprehensive revenue by providing frequency regulation services and encouraging EV response scheduling.