Optimization Strategy for CHP with Heat Storage Participating in Deep Peak Regulation Market

In the northern heating season, combined heating and power (CHP) units are operated in the mode of "power determined by heat", which makes the power system lack of peak regulation ability, especially in valley load period. How to improve the peak regulation capability of the system is an important and urgent problem to be addressed. In this paper, under background of the reform of the power market and the rapid development of energy storage technology, an optimization model for CHP units with heat storage participating in deep peak regulation market is proposed. The conversion between electricity and heat is achieved by the CHP system and electric boilers, and the effective cooperation of thermal energy storage is considered. Guided by electricity price, optimal strategies for CHP units to participate in the spot market or deep peak regulation market are realized. Case study shows that by this scheme, the CHP plant with heat storage has more profit margins and greater competitiveness in the electricity market, so it has the incentive to actively participate in the deep peak regulation market.