Summary:
In this paper, a novel stochastic risk-averse mixed-integer linear programming (MILP) model is developed for optimal electricity procurement of hydrogen fuel stations (HFSs) with responsive hydrogen demands. In the developed model, HFS operator may procure its required electricity through day-ahead (DA) market, bilateral contracts, a contract with withdrawal penalty (CWP) and balancing market. The HFS is committed to inject a pre-specified volume of hydrogen into a natural gas network. In the developed stochastic model, the uncertainties in hydrogen demand and DA market prices are characterized as random variables and modeled as scenarios. The developed model is a two-stage model in which the decisions on transactions with bilateral contracts are the first-stage decision variables and the other decision variables belong to the second stage. The risk of suffering from high procurement costs is modeled using the Conditional Value at Risk (CVaR). The results confirm the efficiency of the proposed model both in terms of reduction in HFS expected cost and risk alleviation. The results show that the transaction through bilateral contracts decreases the expected cost and CVaR respectively by 6% and 3%. The results also indicate that the participation in the balancing market decreases the expected cost and CVaR respectively by 6% and 1.6%. As per results, in scenarios in which DA market prices are lower than CWP prices, HFS operator prefers to pay a penalty fee and withdraw from CWP. The sensitivity of HFS profit to the weight factor of risk metric and the participation factor of responsive demands are assessed.
Keywords: Green hydrogen; Hydrogen fuel station; Electrolyzer; Renewable energy; Electricity market; Bilateral contracts
JCR Impact Factor and WoS quartile: 8,100 - Q1 (2023)
DOI reference:
https://doi.org/10.1016/j.ijhydene.2023.07.197
Published on paper: January 2024.
Published on-line: August 2023.
Citation:
A.R. Jordehi, S.A. Mansouri, M. Tostado-Véliz, M. Carrión, M.J. Hossain, F. Jurado, A risk-averse two-stage stochastic model for optimal participation of hydrogen fuel stations in electricity markets. International Journal of Hydrogen Energy. Vol. 49, nº. Part D, pp. 188 - 201, January 2024. [Online: August 2023]
