Optimization operation model of electricity market considering renewable energy accommodation and flexibility requirement

The renewable portfolio standard has been promoted in parallel with the reform of the electricity market, and the flexibility requirement of the power system has rapidly increased. To promote renewable energy consumption and improve power system flexibility, a bi-level optimal operation model of the electricity market is proposed. A probabilistic model of the flexibility requirement is established, considering the correlation between wind power, photovoltaic power, and load. A bi-level optimization model is established for the multi-markets; the upper and lower models represent the intra-provincial market and inter-provincial market models, respectively. To efficiently solve the model, it is transformed into a mixed-integer linear programming model using the Karush–Kuhn–Tucker condition and Lagrangian duality theory. The economy and flexibility of the model are verified using a provincial power grid as an example.