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• A new clearing model is presented for joint energy-reserve power exchanges in Europe. • Complex energy-reserve orders are the novelty in the proposed clearing model. • The new order type considers opportunity costs along with ramping and income restrictions. • The model is formulated as a single convex mixed integer quadratic program. • Numerical simulations are presented to test and evaluate the performance of the new model. Electricity market integration is an ongoing process in the European power sector. One of its important development areas concerns the integrated, combined trading of different power system products such as energy and control reserves. However, the complicated technical and economic characteristics of generators pose challenges for simple energy-reserve offers. Our solution approach is to unify them with complex orders. The latter have been introduced to represent special generator characteristics on the currently operating European energy-only market. The unified order type is designed to keep all the advantageous properties and functionality of its predecessors. Similarly to simple energy-reserve offers, the decision between energy and control reserve products takes opportunity costs into account. This is a necessary property of optimal capacity allocation. The non-convex fixed costs of suppliers are represented using Minimum Income Conditions and Scheduled Stop Conditions while their ramping limits are handled by Load Gradient Conditions. All three of these components belong to complex orders originally. The resulting new model can be formulated in a single convex Mixed Integer Quadratic Program, and it is fully compatible with European market rules. The viability and adequacy of the proposal are demonstrated using numerical case studies. [ABSTRACT FROM AUTHOR]

Power suppliers potentially have several complicated economic and technical characteristics which can make their daily trading quite difficult on European power exchanges (PXs). The generally considered answers to this predicament are the invention and subsequent introduction of specific supply order types. The integration process of European PXs is ongoing, and the proposed common market is specified to incorporate a particular set of complex supply order types, some of which consider the case of bidders with binding load gradient conditions. A computationally efficient market clearing formulation is presented to implement these orders according to original specifications by bringing over useful elements e.g. shadow prices from American PXs. [ABSTRACT FROM AUTHOR]

Abstract: Wind generation is growing rapidly in all the world, especially in Europe. The power produced by this kind of generation is difficult to predict and the predictions are not very accurate. In most systems these imbalances are costly. These penalties reduce the revenue for the wind generation company (WGENCOs). An option to solve this problem would be to work together with another agent. In this paper, a combined strategy for bidding and operating in a power exchange is presented. It considers the combination of a WGENCO and a hydro-generation company (HGENCO). The mathematical formulation for the optimal bids and for the optimal operation is presented, as well as results from realistic cases. [Copyright &y& Elsevier]