Optimal Strategy of Energy Storage Aggregators in Ancillary Service Markets: Stochastic Programming Approach

Uncertain nature of renewable resources can endanger the balance of generation and consumption. Therefore, the system operator shall commit more schedulable and controllable resources to maintain the security of grid. Among various type of energy resources, battery storages seem to be a reliable alternative to provide the regulation service. In smart grids, consumers can use these household resources to supply their required electricity and sell the surplus energy to grid. Energy storage aggregators as intermediate between prosumers and the local market can merge the capacity of prosumers' resources and submit their power bids in the market. In this work, a linear model is presented for the participation of energy storage aggregators in the ancillary service market. To model the uncertainty of energy price in the ancillary service market, the stochastic programming approach is used. The optimization problem is formulated based on the linear programming method. Finally, the performance and efficiency of the proposed model are evaluated via a case study and different scenarios.