Optimal power regulation for wind integration in the balancing market environment

Variable renewable generation and load fluctuations induce significant balancing cost in power system operation. To overcome this issue, this paper proposes a control architecture that leverages inherent regulation capabilities of wind turbines to minimize the system-wide balancing costs. Instead of handling wind power fluctuations via power filtering algorithms that are agnostic to system-wide power imbalance, this paper aims to optimize the wind power generation profile from system perspective. In the proposed method, wind turbines are modelled as semi-dispatchable units, where the dispatch command is dynamically generated at every automatic generation control cycle by considering mileage payments as an indicator of system-wide imbalance. As a result, local resources of wind turbines are optimally leveraged in real-time to mitigate system-wide power imbalances. The proposed strategy and state-of-the-art techniques are compared in comprehensive high-fidelity case studies. Our simulation results demonstrate that the proposed system-aware regulation scheme can alleviate system balancing costs without investments into energy storage systems.