Optimal bidding strategy for an energy hub in energy market

An energy hub, as an active element in smart distribution grid, can participate in the day-ahead market via submitting bids to maximize its profit. The multi-input and multi-output energy vectors make energy hub different from other active elements. In this paper, a comprehensive optimal bidding strategy for an energy hub is modeled. The proposed model enables the energy hub to benefit from day-ahead and real-time markets. Stochastic optimization is proposed in this strategy to handle several market uncertainties consisting of day-ahead market prices, real-time market prices, and wind generation. The model takes advantages of multi-inputs vector of energy hub to submit the optimal bids including electricity selling/ buying and optimizes the cost. Moreover, it handles the coupling between different types of loads. The problem is modeled as a mixed integer linear program. Numerical simulations evaluate the proposed model. (C) 2018 Elsevier Ltd. All rights reserved.