Document Type: Article
Department of Electrical and Computer Engineering, Islamic Azad University, Science and Research Branch, Tehran, Iran
Center of Excellence in Power System Control and Management, Electrical Engineering Department, Sharif University of Technology, Tehran, Iran
The risk imposed by the stochastic nature of wind energy sources has always been a major barrier despite their proliferation in power systems. To further penetrate these sources, this paper draws upon dynamic prices, which realize demand response potentials along with decimating the risk involved. To do so, a model is first established to study the impacts of activating demand response, on the risk index in a system with a high penetration of wind resources. Then, the model is used to estimate the extra wind capacity that can be hosted by the system such that the risk remains within the acceptable range. The well-being indices are calculated via sequential Monte Carlo simulation approach and Fuzzy theory. The demand response with dynamic prices is modeled by self and cross elasticity coefficients of different load sectors. The performance and applicability of the proposed model are verified through simulations on the IEEE Reliability Test System. (IEEE-RTS).