A Real-Time Multistep Optimization-Based Model for Scheduling of Storage-Based Large-Scale Electricity Consumers in a Wholesale Market

A new real-time optimal scheduling model is proposed and analyzed in this paper to aggregate storage benefits for a large-scale electricity consumer. The complete model for optimal operation of storage-based electrical loads considering both the capital and operating expenditures of storage is developed. A real-time load forecaster is incorporated into the optimal scheduling algorithm using soft constraints, slack variables, and penalizing mechanisms. The application of the proposed model to a real-world large-scale electricity consumer is examined and compared with previous models. It is demonstrated that the proposed model outperforms prior models by generating higher profitability of investment in storage, lower storage operating expenditure, and an extended life of the storage plant.