Practical Operations of Energy Storage Providing Ancillary Services: From Day-Ahead to Real-Time: Preprint

As renewable resources are increasingly penetrating power systems, energy storage systems (ESSs) become essential in providing both energy arbitrage and ancillary services. Due to its high flexibility, ESSs have been taken into account in the daily operation of the bulk power system in many places. This paper proposes a general framework in the current electricity market environment to help system operators model the participation of multi-type ESSs and evaluate the performance of both energy arbitrage and reserve provision. We discuss different levels of ESSs’ flexibility in providing ancillary services and also consider a deliberate and practical implementation of the modeling. This framework can be seamlessly integrated into the daily market operation without sacrificing computational efficiency. Numerical experiments corroborate the efficacy of the proposed framework and show that ESSs possess excellent potential in providing ancillary services for the bulk power system