Pub Date : 2024-04-03DOI: 10.1109/TEMPR.2024.3384833
Shilpa Bindal;Abhijit R. Abhyankar
Optimal scheduling of smart inverter-assisted distributed energy resources (DERs) benefits power system operation and planning entities. The comprehensive evaluation and fair allocation of these co-existing benefits should be the prime criteria for designing a compensation scheme. This work focuses on classifying, quantifying, and allocating multiple benefits extracted through phase-specific optimal power injection in distribution networks. This paper proposes a fair and self-sufficient compensation scheme that stacks uniquely assigned benefit components among the DERs. Using a rectangular branch-current component-based approach, this paper proposes a method to quantify the cooperative optimal power dispatch benefits, broadly classified as capacity deferral and operational benefits. In addition, this work employs the unitary participation-based Aumann Shapley value method to allocate the joint-coalitional benefits fairly among various DERs. By implementing the proposed scheme on the IEEE European distribution network for a long time horizon, various attributes of the proposed scheme are analyzed. The proposed compensation scheme provides the distribution system operator with a financial tool to stimulate DERs' coordination in the optimal power delivery action.
智能逆变器辅助分布式能源资源（DER）的优化调度有利于电力系统的运行和规划。全面评估和公平分配这些并存效益应成为设计补偿方案的首要标准。这项工作的重点是对配电网中通过特定相位优化功率注入获得的多重效益进行分类、量化和分配。本文提出了一种公平、自给自足的补偿方案，在 DER 之间堆叠唯一分配的收益成分。本文采用基于矩形分支电流分量的方法，提出了一种量化合作优化电力调度效益的方法，大致分为容量递延效益和运行效益。此外，本文还采用了基于单元参与的 Aumann Shapley 值方法，在各种 DER 之间公平分配联合-联盟效益。通过在 IEEE 欧洲配电网络上长期实施拟议方案，分析了拟议方案的各种属性。建议的补偿方案为配电系统运营商提供了一种金融工具，以激励 DERs 在最优电力输送行动中进行协调。
{"title":"A Fair and Self-Sufficient Value Stack-Based Compensation Scheme for DERs Enhancing Network Performance","authors":"Shilpa Bindal;Abhijit R. Abhyankar","doi":"10.1109/TEMPR.2024.3384833","DOIUrl":"https://doi.org/10.1109/TEMPR.2024.3384833","url":null,"abstract":"Optimal scheduling of smart inverter-assisted distributed energy resources (DERs) benefits power system operation and planning entities. The comprehensive evaluation and fair allocation of these co-existing benefits should be the prime criteria for designing a compensation scheme. This work focuses on classifying, quantifying, and allocating multiple benefits extracted through phase-specific optimal power injection in distribution networks. This paper proposes a fair and self-sufficient compensation scheme that stacks uniquely assigned benefit components among the DERs. Using a rectangular branch-current component-based approach, this paper proposes a method to quantify the cooperative optimal power dispatch benefits, broadly classified as capacity deferral and operational benefits. In addition, this work employs the unitary participation-based Aumann Shapley value method to allocate the joint-coalitional benefits fairly among various DERs. By implementing the proposed scheme on the IEEE European distribution network for a long time horizon, various attributes of the proposed scheme are analyzed. The proposed compensation scheme provides the distribution system operator with a financial tool to stimulate DERs' coordination in the optimal power delivery action.","PeriodicalId":100639,"journal":{"name":"IEEE Transactions on Energy Markets, Policy and Regulation","volume":"2 3","pages":"423-435"},"PeriodicalIF":0.0,"publicationDate":"2024-04-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142173943","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2024-04-01DOI: 10.1109/TEMPR.2024.3383369
Arnav Gautam;Destenie Nock;Amritanshu Pandey
Sustained power outages are growing in scale and number primarily due to i) the increasing number and intensity of disasters and ii) decarbonization- and electrification-related grid changes. Outage mitigation technologies (e.g., backup diesel generators, and solar panels) increasingly provide vital electricity access during disasters. However, their adoption is inequitable due to individual- or community-level barriers and historic underinvestment in certain communities. We postulate that community-based Resilience Hubs (RHs), which are being increasingly deployed to provide on-site services during disasters, can be expanded to address this inequity by supplying backup power to vulnerable communities through islanded operations. To that end, we present Grid-Aware Tradeoff Analysis (GATA) framework to identify the best backup power systems for expanded RHs. To include technical, economic, and social facets in the framework, we will use three-phase power flow (TPF) and multi-criteria decision analysis (MCDA). TPF will enforce the electrical feasibility of islanded RH operation, and MCDA will quantify the economic, environmental, and equity-weighted outage mitigation performance. As a use case for GATA, we will evaluate multiple representative RHs in Richmond, California, and highlight the non-dominated systems for the electrically feasible RHs. We show the value of GATA's detailed grid simulation, its ability to quantify tradeoffs across scenarios, and its possible extensions.
{"title":"Grid-Aware Tradeoff Analysis for Outage Mitigation Microgrids at Emerging Resilience Hubs","authors":"Arnav Gautam;Destenie Nock;Amritanshu Pandey","doi":"10.1109/TEMPR.2024.3383369","DOIUrl":"https://doi.org/10.1109/TEMPR.2024.3383369","url":null,"abstract":"Sustained power outages are growing in scale and number primarily due to i) the increasing number and intensity of disasters and ii) decarbonization- and electrification-related grid changes. Outage mitigation technologies (e.g., backup diesel generators, and solar panels) increasingly provide vital electricity access during disasters. However, their adoption is inequitable due to individual- or community-level barriers and historic underinvestment in certain communities. We postulate that community-based Resilience Hubs (RHs), which are being increasingly deployed to provide on-site services during disasters, can be expanded to address this inequity by supplying backup power to vulnerable communities through islanded operations. To that end, we present Grid-Aware Tradeoff Analysis (GATA) framework to identify the best backup power systems for expanded RHs. To include technical, economic, and social facets in the framework, we will use three-phase power flow (TPF) and multi-criteria decision analysis (MCDA). TPF will enforce the electrical feasibility of islanded RH operation, and MCDA will quantify the economic, environmental, and equity-weighted outage mitigation performance. As a use case for GATA, we will evaluate multiple representative RHs in Richmond, California, and highlight the non-dominated systems for the electrically feasible RHs. We show the value of GATA's detailed grid simulation, its ability to quantify tradeoffs across scenarios, and its possible extensions.","PeriodicalId":100639,"journal":{"name":"IEEE Transactions on Energy Markets, Policy and Regulation","volume":"2 2","pages":"186-199"},"PeriodicalIF":0.0,"publicationDate":"2024-04-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"141319609","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Modernization of the transmission system via deploying grid-enhancing technologies (GETs) is a cornerstone of future grid design. New congestion patterns necessitating renewable energy curtailment highlight the significance of GETs. Despite the wide acknowledgment of the importance and benefits of GETs, their deployment remains fairly limited. One important barrier is the lack of proper incentives for deployment and efficient operation of GETs. This paper designs an incentive scheme to compensate GETs based on their performance in the intraday market. The rewards are determined based on the cost savings achieved by GET operations and are allocated to market participants using the Shapley value. The proposed incentive scheme is tested with numerical studies on modified IEEE RTS 24-bus and IEEE 300-bus systems. Results confirm that the designed incentive is aligned with the system objective: GET owners are compensated when cost savings are achieved. The benefits of a performance-based payment scheme are threefold: (i) it promotes efficient operation of existing GETs based on the state of the system, (ii) it attracts further GETs deployment, and (iii) moves the risk from ratepayers to the investors.
{"title":"An Incentive Scheme for Grid-Enhancing Technologies Based on the Shapley Value","authors":"Xinyang Rui;Omid Mirzapour;Mostafa Sahraei-Ardakani","doi":"10.1109/TEMPR.2024.3402588","DOIUrl":"https://doi.org/10.1109/TEMPR.2024.3402588","url":null,"abstract":"Modernization of the transmission system via deploying grid-enhancing technologies (GETs) is a cornerstone of future grid design. New congestion patterns necessitating renewable energy curtailment highlight the significance of GETs. Despite the wide acknowledgment of the importance and benefits of GETs, their deployment remains fairly limited. One important barrier is the lack of proper incentives for deployment and efficient operation of GETs. This paper designs an incentive scheme to compensate GETs based on their performance in the intraday market. The rewards are determined based on the cost savings achieved by GET operations and are allocated to market participants using the Shapley value. The proposed incentive scheme is tested with numerical studies on modified IEEE RTS 24-bus and IEEE 300-bus systems. Results confirm that the designed incentive is aligned with the system objective: GET owners are compensated when cost savings are achieved. The benefits of a performance-based payment scheme are threefold: (i) it promotes efficient operation of existing GETs based on the state of the system, (ii) it attracts further GETs deployment, and (iii) moves the risk from ratepayers to the investors.","PeriodicalId":100639,"journal":{"name":"IEEE Transactions on Energy Markets, Policy and Regulation","volume":"2 4","pages":"552-560"},"PeriodicalIF":0.0,"publicationDate":"2024-03-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142810694","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2024-03-18DOI: 10.1109/TEMPR.2024.3378213
Rui Xie;Yue Chen
Energy storage (ES) can help decarbonize power systems by transferring green renewable energy across time. How to unlock the potential of ES in cutting carbon emissions by appropriate market incentives has become a crucial, albeit challenging, problem. This paper fills the research gap by proposing a novel electricity market with carbon emission allocation and investigating the real-time bidding strategy of ES in the proposed market. First, a carbon emission allocation mechanism based on Aumann-Shapley prices is developed and integrated into the electricity market clearing process to give combined electricity and emission prices. A parametric linear programming-based algorithm is proposed to calculate the carbon emission allocation more accurately and efficiently. Second, the real-time bidding strategy of ES in the proposed market is studied. To be specific, we derive the real-time optimal ES operation strategy as a function of the combined electricity and emission price using Lyapunov optimization. Based on this, the real-time bidding cost curve and bounds of ES in the proposed market can be deduced. Numerical experiments show the effectiveness and scalability of the proposed method. Its advantages over the existing methods are also demonstrated by comparisons.
储能（ES）可以通过跨时间传输绿色可再生能源来帮助电力系统去碳化。如何通过适当的市场激励机制释放储能技术在减少碳排放方面的潜力，已成为一个至关重要但又极具挑战性的问题。本文提出了一种具有碳排放分配功能的新型电力市场，并对该市场中的可再生能源实时竞价策略进行了研究，从而填补了这一研究空白。首先，本文开发了一种基于奥曼-沙普利价格的碳排放分配机制，并将其纳入电力市场清算过程，以给出综合电价和排放价格。提出了一种基于参数线性规划的算法，以更准确、更高效地计算碳排放分配。其次，研究了 ES 在拟议市场中的实时竞价策略。具体而言，我们利用 Lyapunov 优化法推导出了作为综合电价和排放价格函数的实时最优 ES 操作策略。在此基础上，可以推导出拟议市场中 ES 的实时竞价成本曲线和边界。数值实验表明了所提方法的有效性和可扩展性。通过比较，还证明了其相对于现有方法的优势。
{"title":"Real-Time Bidding Strategy of Energy Storage in an Energy Market With Carbon Emission Allocation Based on Aumann-Shapley Prices","authors":"Rui Xie;Yue Chen","doi":"10.1109/TEMPR.2024.3378213","DOIUrl":"https://doi.org/10.1109/TEMPR.2024.3378213","url":null,"abstract":"Energy storage (ES) can help decarbonize power systems by transferring green renewable energy across time. How to unlock the potential of ES in cutting carbon emissions by appropriate market incentives has become a crucial, albeit challenging, problem. This paper fills the research gap by proposing a novel electricity market with carbon emission allocation and investigating the real-time bidding strategy of ES in the proposed market. First, a carbon emission allocation mechanism based on Aumann-Shapley prices is developed and integrated into the electricity market clearing process to give combined electricity and emission prices. A parametric linear programming-based algorithm is proposed to calculate the carbon emission allocation more accurately and efficiently. Second, the real-time bidding strategy of ES in the proposed market is studied. To be specific, we derive the real-time optimal ES operation strategy as a function of the combined electricity and emission price using Lyapunov optimization. Based on this, the real-time bidding cost curve and bounds of ES in the proposed market can be deduced. Numerical experiments show the effectiveness and scalability of the proposed method. Its advantages over the existing methods are also demonstrated by comparisons.","PeriodicalId":100639,"journal":{"name":"IEEE Transactions on Energy Markets, Policy and Regulation","volume":"2 3","pages":"350-367"},"PeriodicalIF":0.0,"publicationDate":"2024-03-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142174027","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2024-03-18DOI: 10.1109/TEMPR.2024.3377210
Qiwei Zhang;Fangxing Li
Energy equity has been quickly gaining attention as policymakers seek to place “Clean Energy for ALL” at the center of the low-carbon energy transition. Power system researchers have started to build the groundwork for incorporating energy equity into grid modernization. However, existing research has mostly focused on energy equity from a policy perspective, such as concept clarifications and tariff designs for residential customers. Little effort has been devoted to discussing energy equity in wholesale markets and to reflecting energy equity in electricity price with technical models. To the best of our knowledge, this paper presents the first study attempting to understand and implement energy equity consideration within a physically constrained electricity market-clearing model. First, we identify and discuss several concerns regarding energy equity in the existing locational marginal pricing (LMP) model. Then, we propose a multilayer framework reflecting energy equity in LMPs. Finally, the proposed framework is elaborated via a modified PJM 5-bus system and demonstrated with the WECC 179-bus system.
{"title":"Securing Energy Equity With Multilayer Market Clearing","authors":"Qiwei Zhang;Fangxing Li","doi":"10.1109/TEMPR.2024.3377210","DOIUrl":"https://doi.org/10.1109/TEMPR.2024.3377210","url":null,"abstract":"Energy equity has been quickly gaining attention as policymakers seek to place “Clean Energy for ALL” at the center of the low-carbon energy transition. Power system researchers have started to build the groundwork for incorporating energy equity into grid modernization. However, existing research has mostly focused on energy equity from a policy perspective, such as concept clarifications and tariff designs for residential customers. Little effort has been devoted to discussing energy equity in wholesale markets and to reflecting energy equity in electricity price with technical models. To the best of our knowledge, this paper presents the first study attempting to understand and implement energy equity consideration within a physically constrained electricity market-clearing model. First, we identify and discuss several concerns regarding energy equity in the existing locational marginal pricing (LMP) model. Then, we propose a multilayer framework reflecting energy equity in LMPs. Finally, the proposed framework is elaborated via a modified PJM 5-bus system and demonstrated with the WECC 179-bus system.","PeriodicalId":100639,"journal":{"name":"IEEE Transactions on Energy Markets, Policy and Regulation","volume":"2 3","pages":"301-312"},"PeriodicalIF":0.0,"publicationDate":"2024-03-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142173962","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2024-03-14DOI: 10.1109/TEMPR.2024.3369352
{"title":"IEEE Power & Energy Society Information","authors":"","doi":"10.1109/TEMPR.2024.3369352","DOIUrl":"https://doi.org/10.1109/TEMPR.2024.3369352","url":null,"abstract":"","PeriodicalId":100639,"journal":{"name":"IEEE Transactions on Energy Markets, Policy and Regulation","volume":"2 1","pages":"C2-C2"},"PeriodicalIF":0.0,"publicationDate":"2024-03-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://ieeexplore.ieee.org/stamp/stamp.jsp?tp=&arnumber=10472732","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140135249","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Load frequency control is a well-established concept in AC-operated power systems. Balancing services are used to continuously keep the equilibrium between feed-in and withdrawal of electrical energy. In recent years, significant harmonization efforts took place in Europe to create a common domestic market for balancing energy. Beside alignment of market rules and product definitions, the establishment of European balancing platforms has been one cornerstone in this development. In 2022, the last two platforms went live enabling all connected countries to commonly activate balancing energy. This paper introduces the general concept of balancing platforms as well as the relevant elements of economic surplus resulting from the exchange of balancing energy. Based on the actual submitted bids, the economic surplus generated at the European balancing platforms for Frequency Restoration Reserves during the first year of operation is assessed. Without additional surplus due to unsatisfied demand, the economic surplus resulting from the exchange of balancing energy sums up to 174.6 m. € in the considered period. The experience from setting up and operating European balancing results in an outlook on further opportunities to foster competition by extending the European balancing platforms into balancing capacity cooperations.
{"title":"Assessment of Economic Surplus Generated at the European Balancing Platforms","authors":"Ulf Kasper;Andreas Kindsmüller;David Steber;Simon Remppis;Dominik Schlipf;Alexander Warsewa","doi":"10.1109/TEMPR.2024.3400902","DOIUrl":"https://doi.org/10.1109/TEMPR.2024.3400902","url":null,"abstract":"Load frequency control is a well-established concept in AC-operated power systems. Balancing services are used to continuously keep the equilibrium between feed-in and withdrawal of electrical energy. In recent years, significant harmonization efforts took place in Europe to create a common domestic market for balancing energy. Beside alignment of market rules and product definitions, the establishment of European balancing platforms has been one cornerstone in this development. In 2022, the last two platforms went live enabling all connected countries to commonly activate balancing energy. This paper introduces the general concept of balancing platforms as well as the relevant elements of economic surplus resulting from the exchange of balancing energy. Based on the actual submitted bids, the economic surplus generated at the European balancing platforms for Frequency Restoration Reserves during the first year of operation is assessed. Without additional surplus due to unsatisfied demand, the economic surplus resulting from the exchange of balancing energy sums up to 174.6 m. € in the considered period. The experience from setting up and operating European balancing results in an outlook on further opportunities to foster competition by extending the European balancing platforms into balancing capacity cooperations.","PeriodicalId":100639,"journal":{"name":"IEEE Transactions on Energy Markets, Policy and Regulation","volume":"2 4","pages":"570-578"},"PeriodicalIF":0.0,"publicationDate":"2024-03-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142810695","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2024-03-14DOI: 10.1109/TEMPR.2024.3369356
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Pub Date : 2024-03-14DOI: 10.1109/TEMPR.2024.3369350
{"title":"IEEE Transactions on Energy Markets, Policy, and Regulation Information for Authors","authors":"","doi":"10.1109/TEMPR.2024.3369350","DOIUrl":"https://doi.org/10.1109/TEMPR.2024.3369350","url":null,"abstract":"","PeriodicalId":100639,"journal":{"name":"IEEE Transactions on Energy Markets, Policy and Regulation","volume":"2 1","pages":"C3-C3"},"PeriodicalIF":0.0,"publicationDate":"2024-03-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://ieeexplore.ieee.org/stamp/stamp.jsp?tp=&arnumber=10472734","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140135278","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Policy makers are formulating offshore energy infrastructure plans, including wind turbines, electrolyzers, and HVDC transmission lines. An effective market design is crucial to guide cost-efficient investments and dispatch decisions. This paper jointly studies the impact of offshore market design choices on the investment in offshore electrolyzers and HVDC transmission capacity. We present a bilevel model that incorporates investments in offshore energy infrastructure, day-ahead market dispatch, and potential redispatch actions near real-time to ensure transmission constraints are respected. Our findings demonstrate that full nodal pricing, i.e., nodal pricing both onshore and offshore, outperforms the onshore zonal combined with offshore nodal pricing or offshore zonal layouts. While combining onshore zonal with offshore nodal pricing can be considered as a second-best option, it generally diminishes the profitability of offshore wind farms. However, if investment costs of offshore electrolyzers are relatively low, they can serve as catalysts to increase the revenues of the offshore wind farms. This study contributes to the understanding of market designs for highly interconnected offshore power systems, offering insights into the impact of congestion pricing methodologies on investment decisions. Besides, it is useful towards understanding the interaction of offshore loads like electrolyzers with financial support mechanisms for offshore wind farms.
{"title":"Evaluating Offshore Electricity Market Design Considering Endogenous Infrastructure Investments: Zonal or Nodal?","authors":"Michiel Kenis;Vladimir Dvorkin;Tim Schittekatte;Kenneth Bruninx;Erik Delarue;Audun Botterud","doi":"10.1109/TEMPR.2024.3399611","DOIUrl":"10.1109/TEMPR.2024.3399611","url":null,"abstract":"Policy makers are formulating offshore energy infrastructure plans, including wind turbines, electrolyzers, and HVDC transmission lines. An effective market design is crucial to guide cost-efficient investments and dispatch decisions. This paper jointly studies the impact of offshore market design choices on the investment in offshore electrolyzers and HVDC transmission capacity. We present a bilevel model that incorporates investments in offshore energy infrastructure, day-ahead market dispatch, and potential redispatch actions near real-time to ensure transmission constraints are respected. Our findings demonstrate that full nodal pricing, i.e., nodal pricing both onshore and offshore, outperforms the onshore zonal combined with offshore nodal pricing or offshore zonal layouts. While combining onshore zonal with offshore nodal pricing can be considered as a second-best option, it generally diminishes the profitability of offshore wind farms. However, if investment costs of offshore electrolyzers are relatively low, they can serve as catalysts to increase the revenues of the offshore wind farms. This study contributes to the understanding of market designs for highly interconnected offshore power systems, offering insights into the impact of congestion pricing methodologies on investment decisions. Besides, it is useful towards understanding the interaction of offshore loads like electrolyzers with financial support mechanisms for offshore wind farms.","PeriodicalId":100639,"journal":{"name":"IEEE Transactions on Energy Markets, Policy and Regulation","volume":"2 4","pages":"476-487"},"PeriodicalIF":0.0,"publicationDate":"2024-03-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"141114012","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
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