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Convexifying Market Clearing of SoC-Dependent Bids from Merchant Storage Participants (2209.02107v2)

Published 5 Sep 2022 in eess.SY, cs.CE, and cs.SY

Abstract: State-of-charge (SoC) dependent bidding allows merchant storage participants to incorporate SoC-dependent operation and opportunity costs in a bid-based market clearing process. However, such a bid results in a non-convex cost function in the multi-interval economic dispatch and market clearing, limiting its implementation in practice. We show that a simple restriction on the bidding format removes the non-convexity, making the multi-interval dispatch of SoC-dependent bids a standard convex piece-wise linear program.

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