Wind Power Investment: A Benders Decomposition Approach

Investment in wind power facilities involves a high level of uncertainty. To properly model such uncertainty, we consider a large number of scenarios and formulate this investment problem as a mathematical program with equilibrium constraints. The target of this problem is to maximize the profit fro...

Full description

Saved in:
Bibliographic Details
Published inIEEE transactions on power systems Vol. 27; no. 1; pp. 433 - 441
Main Authors Baringo, Luis, Conejo, Antonio J.
Format Journal Article
LanguageEnglish
Published IEEE 01.02.2012
Subjects
Benders decomposition
capacity investment
complementarity
electricity market
Investments
Load modeling
Mathematical model
Production
stochastic programming
Uncertainty
Upper bound
wind power
Wind power generation
Online AccessGet full text
ISSN0885-8950
1558-0679
DOI10.1109/TPWRS.2011.2167764

Cover

More Information
Summary:Investment in wind power facilities involves a high level of uncertainty. To properly model such uncertainty, we consider a large number of scenarios and formulate this investment problem as a mathematical program with equilibrium constraints. The target of this problem is to maximize the profit from wind power investment in a target year, and it is subject to complementarity constraints describing a large number of market clearing conditions. Since the profit as a function of the investment variables has as sufficiently convex envelope, the considered problem can be solved by Benders decomposition. Thus, we propose, describe, and analyze a Benders decomposition algorithm to efficiently tackle the wind power investment problem.
ISSN:0885-8950
1558-0679
DOI:10.1109/TPWRS.2011.2167764