Energy Trading in Electricity markets has gained more importance in recent times due to i) the transformation of electricity markets from vertical integration to horizontally distributed systems and ii) the significant penetration of renewables into the grid. As a result, participation of renewables in the electricity trading process has become mandatory. Energy Trading of Ancillary services like, spinning reserve (SR), fast response reserve (FRR), voltage and reactive power support are considered and presented in this talk.



Uncertainties in the energy dispatched by renewables, discourage these players from participating in the energy markets as they are penalized for energy imbalances. To overcome this limitation, a two-stage stochastic joint bidding strategy for wind power plant (WPP) and pumped storage plant (PSP) will be discussed. The problem is formulated as maximization of the revenues of WPP and PSP. The stochastic bidding strategy hedges the risk introduced by renewables by considering the two ancillary services like SR, FRR. In the first stage, collective energy and ancillary service bids are optimized based on the day ahead energy and ancillary service prices. In the second stage, different wind power scenarios are realized based on historical patterns, and PSP reduces the deviations in the submitted joint bids in the energy and ancillary service markets (ASMs). The Proposed stochastic bidding strategy is demonstrated by a WPP of capacity 3 MW, and Six PSP units of each capacity 1 MW.



Suitability and feasibility of blockchain technology for Energy Trading is considered in this work. A decentralized and distributed automatic electricity trading mechanism for the independent microgrid is the main contribution of the research.