The Effect of Stochastic Wind Generation on Ramping Costs and the System Benefits of Storage

The objective of this paper is to demonstrate 1) how adding storage capacity to a network can mitigate the variability of wind generation and increase the system benefits, and 2) how the stochastic characteristics of the wind generation affect the system benefits of storage capacity. Two types of storage are considered. One represents utility-scale storage that is collocated at the wind sites, and the other represents an identical amount of deferrable demand located at load centers. The simulation is based on a multi-period, stochastic, Security Constrained Optimal Power Flow (SCOPF) and a reduction of the NPCC network. The results demonstrate that storage capacity can dispatch more wind, mitigate the ramping costs associated with wind variability, and reduce the amount of reserve capacity needed. Deferrable demand can further enhance the system operation, by flattening the typical daily pattern of load, reducing the peak system load and reducing the amount of installed capacity needed on the supply side.