Method for bidding battery storage into hour-ahead energy markets

• US 20150242946A1
• Filed: 02/27/2015
• Published: 08/27/2015
• Est. Priority Date: 02/27/2014
• Status: Active Grant

• Current Assignee: The Trustees of Princeton University (Princeton University)
• Original Assignee: The Trustees of Princeton University (Princeton University)
• Inventors: Powell, Warren B., Jiang, Daniel R.
• Granted Patent: US 9,965,802 B2
• Time in Patent Office: Days
• US Class Current: 1/1
• CPC Class Codes: G06Q 30/08 Auctions

Abstract

A method for generating bids for a look-ahead, e.g. hour-ahead, energy market is disclosed. The method includes providing a processor configured to generate a lookup table approximating a value function having four dimensions including: state of the storage system, price of electricity, prior low bid and prior high bid. The processor is configured to observe an initial numeric value for a first set of dimensions and exploiting monotonicity to update a first region of the lookup table. The processor is configured to iteratively observe subsequent numeric values for a next set of dimensions and update subsequent regions of the lookup table while exploiting monotonicity to generate the lookup table. The value function is configured with numeric values for all possible sets of dimensions, the numeric values being usable to compute optimal bids.

Claims

1. A method for generating bids for a look-ahead energy market, the method comprising:

providing a processor configured to generate a lookup table approximating a value function having four dimensions including;

state of the storage system, price of electricity, prior low bid and prior high bid;

the processor being configured to observe an initial numeric value for a first set of dimensions and exploiting monotonicity to update a first region of the lookup table;

the processor being configured to iteratively observe subsequent numeric values for a next set of dimensions and update subsequent regions of the lookup table while exploiting monotonicity to generate the lookup table;

the value function being configured with numeric values for all possible sets of dimensions, the numeric values being usable to compute optimal bids.

2. The method of claim 1 wherein the look-ahead energy market is an hour-ahead energy market.

3. The method of claim 1 further comprising locating a specific numeric value in the lookup table based on a known set of dimensions and generating the optimal bids based on the specific numeric value.

4. The method of claim 1 further comprising providing a second processor configured to locate the specific numeric value in the lookup table and generate the optimal bids based on the specific numeric value.

5. The method of claim 1 wherein the optimal bids include a low bid for a future time period and a high bid for the future time period.

6. The method of claim 1 wherein the lookup table is updated on a periodic basis.

7. The method of claim 1 wherein the lookup table is updated on a daily basis.

8. A system for generating bids for a look-ahead energy market, the system comprising:

a processor configured to generate a lookup table approximating a value function having four dimensions including;

state of the storage system, price of electricity, prior low bid and prior high bid;

the processor being configured to observe an initial numeric value for a first set of dimensions and exploiting monotonicity to update a first region of the lookup table;

the processor being configured to iteratively observe subsequent numeric values for a next set of dimensions and update subsequent regions of the lookup table while exploiting monotonicity to generate the lookup table;

the value function being configured with numeric values for all possible sets of dimensions, the numeric values being usable to compute optimal bids.

9. The system of claim 8 wherein the look-ahead energy market is an hour-ahead energy market.

10. The system of claim 8 wherein the processor is configured to locate a specific numeric value in the lookup table based on a known set of dimensions and generate the optimal bids based on the specific numeric value.

11. The system of claim 8 wherein a second processor is configured to locate a specific numeric value in the lookup table based on a known set of dimensions and generate the optimal bids based on the specific numeric value.

12. The system of claim 8 wherein the optimal bids include a low bid for a future time period and a high bid for the future time period.

13. The system of claim 8 wherein the lookup table is updated on a periodic basis.

14. The system of claim 8 wherein the lookup table is updated on a daily basis.

15. A non-transitory computer-readable medium having stored thereon a computer program for execution by a processor configured to perform a method for generating bids for a look-ahead energy market, the method comprising:

generating a lookup table approximating a value function having four dimensions including;

state of the storage system, price of electricity, prior low bid and prior high bid;

observing an initial numeric value for a first set of dimensions and exploiting monotonicity to update a first region of the lookup table;

iteratively observing subsequent numeric values for a next set of dimensions and update subsequent regions of the lookup table while exploiting monotonicity to generate the lookup table;

the value function being configured with numeric values for all possible sets of dimensions, the numeric values being usable to compute optimal bids.

16. The computer-readable medium of 15 wherein the look-ahead energy market is an hour-ahead energy market.

17. The computer-readable medium of 15 further comprising locating a specific numeric value in the lookup table based on a known set of dimensions and generating the optimal bids based on the specific numeric value.

18. The computer-readable medium of 15 wherein the optimal bids include a low bid for a future time period and a high bid for the future time period.

19. The computer-readable medium of 15 wherein the lookup table is updated on a periodic basis.

20. The computer-readable medium of 15 wherein the lookup table is updated on a daily basis.