How P2P Trading Helps an Electricity Retailer Exposed to Volatile Spot Prices: A Case Study

Liaqat Ali; Jan Peters; M. Imran Azim; Ehsan Pashajavid; Vivek Bhandari; Anand Menon; Vinod Tiwari; Arindam Ghosh; Jemma Green

doi:10.1109/iSPEC54162.2022.10033038

How P2P Trading Helps an Electricity Retailer Exposed to Volatile Spot Prices: A Case Study

Liaqat Ali
, Jan Peters
, M. Imran Azim
, Ehsan Pashajavid
, Vivek Bhandari
, Anand Menon
, Vinod Tiwari
, Arindam Ghosh
, Jemma Green

Research output: Chapter in Book/Report/Conference proceeding › Conference Paper › Research › peer-review

7 Citations (Scopus)

Abstract

This paper performs a case study to analyse the impacts of variable spot prices on retailer income in the National Electricity Market (NEM). Further, the effectiveness of a peer-to-peer (P2P) trading-based local energy market (LEM) to address those negative impacts is evaluated. The LEM is operated under a single substation consisting of consumers and prosumers with solar PVs and batteries. Energy trading is performed among the sellers and buyers based on real-world data from an Australian town. Two different scenarios of high and low spot prices are considered to analyse the effect of volatile spot prices. The energy buying and selling by the retailer is explored through the metrics of five different parameters. Eventually, simulation results of the P2P and traditional business-as-usual (BAU) trading are analysed. It is found that LEM helps the retailer to reduce the impact of higher spot prices with more stable demand. Additionally, LEM improves the self-sufficiency and self-consumption of the distribution network.

Original language	English
Title of host publication	Proceedings - 2022 IEEE Sustainable Power and Energy Conference (iSPEC)
Editors	Ehsan Pashajavid, Dowon Kim, Sumedha Rajakaruna, Ahmed Abu-Siada
Place of Publication	Piscataway NJ USA
Publisher	IEEE, Institute of Electrical and Electronics Engineers
Number of pages	5
ISBN (Electronic)	9781665485227
ISBN (Print)	9781665485234
DOIs	https://doi.org/10.1109/iSPEC54162.2022.10033038
Publication status	Published - 2022
Externally published	Yes
Event	IEEE Sustainable Power and Energy Conference 2022 - Online, Australia Duration: 4 Dec 2022 → 7 Dec 2022 Conference number: 4th https://ieeexplore.ieee.org/xpl/conhome/10032972/proceeding (Proceedings) https://attend.ieee.org/ispec-2022/ (Website)

Conference

Conference	IEEE Sustainable Power and Energy Conference 2022
Abbreviated title	iSPEC 2022
Country/Territory	Australia
Period	4/12/22 → 7/12/22
Internet address	https://ieeexplore.ieee.org/xpl/conhome/10032972/proceeding (Proceedings) https://attend.ieee.org/ispec-2022/ (Website)

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

SDG 7 Affordable and Clean Energy

Keywords

Local energy market
P2P energy trading
prosumer
retailer
spot prices
wholesale market

Access to Document

10.1109/iSPEC54162.2022.10033038

Cite this

Ali, L., Peters, J., Azim, M. I., Pashajavid, E., Bhandari, V., Menon, A., Tiwari, V., Ghosh, A., & Green, J. (2022). How P2P Trading Helps an Electricity Retailer Exposed to Volatile Spot Prices: A Case Study. In E. Pashajavid, D. Kim, S. Rajakaruna, & A. Abu-Siada (Eds.), Proceedings - 2022 IEEE Sustainable Power and Energy Conference (iSPEC) IEEE, Institute of Electrical and Electronics Engineers. https://doi.org/10.1109/iSPEC54162.2022.10033038

Ali, Liaqat ; Peters, Jan ; Azim, M. Imran et al. / How P2P Trading Helps an Electricity Retailer Exposed to Volatile Spot Prices : A Case Study. Proceedings - 2022 IEEE Sustainable Power and Energy Conference (iSPEC). editor / Ehsan Pashajavid ; Dowon Kim ; Sumedha Rajakaruna ; Ahmed Abu-Siada. Piscataway NJ USA : IEEE, Institute of Electrical and Electronics Engineers, 2022.

@inproceedings{c1c31b3b85c04dc38bfde323aec7b1fe,

title = "How P2P Trading Helps an Electricity Retailer Exposed to Volatile Spot Prices: A Case Study",

abstract = "This paper performs a case study to analyse the impacts of variable spot prices on retailer income in the National Electricity Market (NEM). Further, the effectiveness of a peer-to-peer (P2P) trading-based local energy market (LEM) to address those negative impacts is evaluated. The LEM is operated under a single substation consisting of consumers and prosumers with solar PVs and batteries. Energy trading is performed among the sellers and buyers based on real-world data from an Australian town. Two different scenarios of high and low spot prices are considered to analyse the effect of volatile spot prices. The energy buying and selling by the retailer is explored through the metrics of five different parameters. Eventually, simulation results of the P2P and traditional business-as-usual (BAU) trading are analysed. It is found that LEM helps the retailer to reduce the impact of higher spot prices with more stable demand. Additionally, LEM improves the self-sufficiency and self-consumption of the distribution network.",

keywords = "Local energy market, P2P energy trading, prosumer, retailer, spot prices, wholesale market",

author = "Liaqat Ali and Jan Peters and Azim, \{M. Imran\} and Ehsan Pashajavid and Vivek Bhandari and Anand Menon and Vinod Tiwari and Arindam Ghosh and Jemma Green",

note = "Publisher Copyright: {\textcopyright} 2022 IEEE.; IEEE Sustainable Power and Energy Conference 2022, iSPEC 2022 ; Conference date: 04-12-2022 Through 07-12-2022",

year = "2022",

doi = "10.1109/iSPEC54162.2022.10033038",

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booktitle = "Proceedings - 2022 IEEE Sustainable Power and Energy Conference (iSPEC)",

publisher = "IEEE, Institute of Electrical and Electronics Engineers",

address = "United States of America",

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Ali, L, Peters, J, Azim, MI, Pashajavid, E, Bhandari, V, Menon, A, Tiwari, V, Ghosh, A & Green, J 2022, How P2P Trading Helps an Electricity Retailer Exposed to Volatile Spot Prices: A Case Study. in E Pashajavid, D Kim, S Rajakaruna & A Abu-Siada (eds), Proceedings - 2022 IEEE Sustainable Power and Energy Conference (iSPEC). IEEE, Institute of Electrical and Electronics Engineers, Piscataway NJ USA, IEEE Sustainable Power and Energy Conference 2022, Australia, 4/12/22. https://doi.org/10.1109/iSPEC54162.2022.10033038

How P2P Trading Helps an Electricity Retailer Exposed to Volatile Spot Prices: A Case Study. / Ali, Liaqat; Peters, Jan; Azim, M. Imran et al.
Proceedings - 2022 IEEE Sustainable Power and Energy Conference (iSPEC). ed. / Ehsan Pashajavid; Dowon Kim; Sumedha Rajakaruna; Ahmed Abu-Siada. Piscataway NJ USA: IEEE, Institute of Electrical and Electronics Engineers, 2022.

Research output: Chapter in Book/Report/Conference proceeding › Conference Paper › Research › peer-review

TY - GEN

T1 - How P2P Trading Helps an Electricity Retailer Exposed to Volatile Spot Prices

T2 - IEEE Sustainable Power and Energy Conference 2022

AU - Ali, Liaqat

AU - Peters, Jan

AU - Azim, M. Imran

AU - Pashajavid, Ehsan

AU - Bhandari, Vivek

AU - Menon, Anand

AU - Tiwari, Vinod

AU - Ghosh, Arindam

AU - Green, Jemma

N1 - Conference code: 4th

PY - 2022

Y1 - 2022

N2 - This paper performs a case study to analyse the impacts of variable spot prices on retailer income in the National Electricity Market (NEM). Further, the effectiveness of a peer-to-peer (P2P) trading-based local energy market (LEM) to address those negative impacts is evaluated. The LEM is operated under a single substation consisting of consumers and prosumers with solar PVs and batteries. Energy trading is performed among the sellers and buyers based on real-world data from an Australian town. Two different scenarios of high and low spot prices are considered to analyse the effect of volatile spot prices. The energy buying and selling by the retailer is explored through the metrics of five different parameters. Eventually, simulation results of the P2P and traditional business-as-usual (BAU) trading are analysed. It is found that LEM helps the retailer to reduce the impact of higher spot prices with more stable demand. Additionally, LEM improves the self-sufficiency and self-consumption of the distribution network.

AB - This paper performs a case study to analyse the impacts of variable spot prices on retailer income in the National Electricity Market (NEM). Further, the effectiveness of a peer-to-peer (P2P) trading-based local energy market (LEM) to address those negative impacts is evaluated. The LEM is operated under a single substation consisting of consumers and prosumers with solar PVs and batteries. Energy trading is performed among the sellers and buyers based on real-world data from an Australian town. Two different scenarios of high and low spot prices are considered to analyse the effect of volatile spot prices. The energy buying and selling by the retailer is explored through the metrics of five different parameters. Eventually, simulation results of the P2P and traditional business-as-usual (BAU) trading are analysed. It is found that LEM helps the retailer to reduce the impact of higher spot prices with more stable demand. Additionally, LEM improves the self-sufficiency and self-consumption of the distribution network.

KW - Local energy market

KW - P2P energy trading

KW - prosumer

KW - retailer

KW - spot prices

KW - wholesale market

UR - https://www.scopus.com/pages/publications/85148572535

U2 - 10.1109/iSPEC54162.2022.10033038

DO - 10.1109/iSPEC54162.2022.10033038

M3 - Conference Paper

AN - SCOPUS:85148572535

SN - 9781665485234

BT - Proceedings - 2022 IEEE Sustainable Power and Energy Conference (iSPEC)

A2 - Pashajavid, Ehsan

A2 - Kim, Dowon

A2 - Rajakaruna, Sumedha

A2 - Abu-Siada, Ahmed

PB - IEEE, Institute of Electrical and Electronics Engineers

CY - Piscataway NJ USA

Y2 - 4 December 2022 through 7 December 2022

ER -

Ali L, Peters J, Azim MI, Pashajavid E, Bhandari V, Menon A et al. How P2P Trading Helps an Electricity Retailer Exposed to Volatile Spot Prices: A Case Study. In Pashajavid E, Kim D, Rajakaruna S, Abu-Siada A, editors, Proceedings - 2022 IEEE Sustainable Power and Energy Conference (iSPEC). Piscataway NJ USA: IEEE, Institute of Electrical and Electronics Engineers. 2022 doi: 10.1109/iSPEC54162.2022.10033038

How P2P Trading Helps an Electricity Retailer Exposed to Volatile Spot Prices: A Case Study

Abstract

Conference

UN SDGs

Keywords

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