A Strategic Bidding Framework for Renewable Energy Providers Considering Renewable Energy Output Uncertainty

Renewable energy provides a powerful tool for handling the climate problem. However, the uncertainty of renewable energy resources restricts their bidding strategies. To improve renewable energy providers' profits and enable the sustainable renewable energy development, it is necessary to consider renewable energy resources' uncertainty during strategic bidding process. This paper proposes a strategic bidding framework to solve this problem. A K-means-based scene set generation method is utilized to model the potential market environment of the day-ahead and real-time market. The scene set is used as the parameters of a stochastic optimization programming to maximize renewable energy providers' profits in different scenes. Simulation results based on real market data from the Midcontinent Independent System Operator prove the practicality of the proposed framework.