THE VALUE OF FLEXIBILITY IN ELECTRICITY MARKETS FROM GAS TURBINE UPGRADES: A STOCHASTIC MIXED INTEGER PROGRAMMING APPROACH
Open Access
Author:
Dalvi, Sourabh Prabhakar
Graduate Program:
Industrial Engineering
Degree:
Master of Science
Document Type:
Master Thesis
Date of Defense:
November 16, 2018
Committee Members:
Mort D Webster, Thesis Advisor/Co-Advisor Seth Adam Blumsack, Committee Member Janis P Terpenny, Committee Member
Keywords:
Stochastic Optimization Power System Electricity Markets Unit Commitment Flexibility
Abstract:
The expected increase in generation from renewables and the consequent increased variability in net load has led to calls for more flexible resources in the generation mix. One potential source of flexibility is from performance improvements to existing gas turbines, including higher maximum output, lower minimum output, faster ramping, and less time and lower cost for start-ups. I apply a stochastic multi-stage mixed integer linear program to model the power system of Public Service of New Mexico and demonstrate the relative economic value of different upgrades to the system and to the unit owner.
