Taking over a river system with hydro assets
Tuovinen, Miika (2019)
Tuovinen, Miika
2019
Electrical Engineering
Informaatioteknologian ja viestinnän tiedekunta - Faculty of Information Technology and Communication Sciences
This publication is copyrighted. You may download, display and print it for Your own personal use. Commercial use is prohibited.
Hyväksymispäivämäärä
2019-05-29
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:tty-201904301445
https://urn.fi/URN:NBN:fi:tty-201904301445
Tiivistelmä
Hydropower as a renewable, storable and flexible energy production form is well-suited for responding to the fluctuating power demand. Since hydropower covers more than 50 % of the total Nordic electricity production, its availability is a significant price driver in the Nordic electricity markets. Hydropower producers aim to maximize profits in long term when scheduling their production allocation to different market places. Hydropower planning is a continuous process that starts from long-term planning and ends with real-time operating of hydropower units. Day-ahead market is the most important marketplace for hydropower companies but they benefit also from participating in other energy and capacity markets. Hence, hydropower profitability can be increased by trading in intraday and balancing power markets in which producer is required to be able quickly decide which bids are carried out in the markets.
This thesis focuses on hydropower intraday activities of a control room in Finland. All activities are related to a single river system that was previously unknown for the control room. The main purpose of this thesis was to give support to the learning process of the river system but also consider how profits can be increased during intraday. In order to do so, the properties of the river system were studied, modelled and implemented into different tools. In successful hydropower activities, it is also question whether the personnel who are responsible for intraday production scheduling and operating of hydro units are familiar with the river system. The training process for the personnel is presented in this thesis. The main result of this thesis is a method for hydropower bidding curve calculation for intraday energy markets. The method determines marginal cost of available trading capacity based on the deviation costs that arise when production is adjusted from the original production plan. The method enables producer to quickly estimate how much and at what price it is profitable to buy or sell its hydro production in the intraday markets. This thesis also suggests that profitability can be increased by automated monitoring of intraday market with relation to hourly production capacity. Monitoring enables control room to find feasible bids from the market place but also evaluate the opportunity cost for a production increase or decrease.
This thesis focuses on hydropower intraday activities of a control room in Finland. All activities are related to a single river system that was previously unknown for the control room. The main purpose of this thesis was to give support to the learning process of the river system but also consider how profits can be increased during intraday. In order to do so, the properties of the river system were studied, modelled and implemented into different tools. In successful hydropower activities, it is also question whether the personnel who are responsible for intraday production scheduling and operating of hydro units are familiar with the river system. The training process for the personnel is presented in this thesis. The main result of this thesis is a method for hydropower bidding curve calculation for intraday energy markets. The method determines marginal cost of available trading capacity based on the deviation costs that arise when production is adjusted from the original production plan. The method enables producer to quickly estimate how much and at what price it is profitable to buy or sell its hydro production in the intraday markets. This thesis also suggests that profitability can be increased by automated monitoring of intraday market with relation to hourly production capacity. Monitoring enables control room to find feasible bids from the market place but also evaluate the opportunity cost for a production increase or decrease.