Congestion Management in the Electricity Spot Market Considering the Cycle Life Cost of Energy Storage

  • Shan Li
  • , Huifang Ding
  • , Jingyu Wei*
  • , Pengfei Li
  • , Bin Lu
  • , Fenglei Lv
  • , Zhen Li
  • , Wei Jiang
  • *Corresponding author for this work

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

Under the guidance of the dual carbon target and the background of power system reform, the requirements for economic, stable and safe operation of power grids are more demanding and complex. This paper constructs a decision model for energy storage power plants to participate in the spot market considering the cycle life cost, and construct the transmission grid blockage assessment indexes from the component and system levels. Combining with the results of the indexes, we construct a blockage management model from the perspectives of multi-interested subjects such as the generation side, the user side and the energy storage power plants. The Nash negotiation theory is applied to decompose the scenario into two sub-problems, namely, maximizing the interests of transaction subjects and optimizing power transaction payments. The generation and feed-in tariff solutions are iteratively updated by alternating direction multiplication method (ADMM). Simulations are conducted with the IEEE 14-node system as an example to verify that the proposed method can effectively alleviate line blockages and improve the economy and security of power system operation.

Original languageEnglish
Title of host publicationThe Proceedings of the 12th Frontier Academic Forum of Electrical Engineering (FAFEE2025) - Volume III
EditorsQingxin Yang
PublisherSpringer Science and Business Media Deutschland GmbH
Pages372-379
Number of pages8
ISBN (Print)9789819542772
DOIs
Publication statusPublished - 2026
Event12th Frontier Academic Forum of Electrical Engineering, FAFEE 2025 - Xiamen, China
Duration: 23 May 202525 May 2025

Publication series

NameLecture Notes in Electrical Engineering
Volume1506 LNEE
ISSN (Print)1876-1100
ISSN (Electronic)1876-1119

Conference

Conference12th Frontier Academic Forum of Electrical Engineering, FAFEE 2025
Country/TerritoryChina
CityXiamen
Period23/05/2525/05/25

Keywords

  • ADMM
  • Blockage Management
  • Cycle Life Cost
  • Multi-interested Subjects
  • Nash Negotiation Theory
  • Spot Market

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