Impact Of The Wind Power Integration Into The Power Grid On Demand-side Price Response In Electricity Market

With development of global industralization,the demand for fossil fuels are alsorising.However,because the fossil energy is non-renewable energy,and it also causegreat pollution to the environment.Therefore,developing new energy resourses toreplace traditional energy is the general trend.Wind energy as the clean and renewableenergy is emphasized by most countries.In recent years,with the number of large-scalewind farm connecting into the power grid,impact of the wind power on the entirepower system will be larger than before.Usually the output of wind power would havea certain degree influnce on eletricity price.Therefore,after the large-scale wind farmconnects the power grid,we need to analyze how the wind power would affect theuser’s response and the clearing price of electricity market.This paper introduces the basic priciples of demand-side response and the basicconcepts and methods of fomulating electricity price, the main contents of the paperare as follows:First, the spot pricing model can be determined by constructing the short-runsupply curve,and the short-term market composite supply curve can be acquierd bycombination of the wind power supply curve and the conventional power supplycurve.Then,with these two aspects we can study on relationship between wind powersupply and spot electricity price and demonstrates how the wind power wouldinfluence the electricity market short-term supply curve,and further affect theelectricity market’s every hour electricity price.Second,we should establish model between power demand and priceresponse,and make the model parameterized by cross price elasticity coefficient andown price elasticity coefficient of electricity demand, then carry on the detailedanalysis of a series of situations.The key is to analyze the short-term impact ofelectricty price.Third,we need to simulate and analyze the contant adjustment process betweenload time series and the price until the final balance, and study the effect on the loadand the market clearing price after the large-scale wind farm connects into the power grid.Finally,using an example simulates and analyzes the response behavior of theload to the electricity price within one day in some power system.Therefore,the issues which this paper solved has important theoretical andpractical significance to enhance the community awareness of the wind power,improve the technical and economic evaluation theory of wind power and other newenergy power generation projects and promote China’s new energy sustainable andhealthy development.