These days increase greenhouse gases and world temperature forces all countries in the world to use more renewable energies [1]. In order to be more efficient and competitive using the electrical energy market is essential. Balancing demand and production is the primary task of the electricity market. Trading and using EES (electrical energy storage) are possibilities for controlling this phenomenon. Two of the main markets in the electricity era are intraday and ahead markets. In the day-ahead market, trading is for the next day and it is called “closed-auction-based”.
Predicting acceptable price and power range is fundamental in this market and lots of scientists work on that trying to make more ideal intelligent patterns and models of the day-ahead market [2].
The intraday market includes the continuous and auction market and the duty of that is to upgrade and adjust unbalancing after the day-ahead market has shut down and closed until one hour or half-hour in some countries, before the actual time. By 2020 nearly 20% of energy is supplied by renewable sources [3]. In the future RES (Renewable energy resources) are becoming extraordinary in power networks so intermittent energies like wind and solar that rely on weather make supplying more fluctuating. On the other side, demand can’t be predicted accurately, so in the total intraday market becomes more valuable these days. Modeling price predicting in the intraday market still needs more works on it because dependency between market variables is following non- linear. Machine learning and artificial intelligence are methods that help the market to perceive statistical formation and they can also solve complex data analysis [2].
1.1 Research objective
Plenty of researchers have worked with intraday and day-ahead markets in lots of countries and each of them has tried to improve revenue and operation from the electrical grid and market viewpoints. This thesis aims to merge some of them to distinguish and understand the better market mechanism in five different countries which include three areas in Europe and two zones out of Europe. Nordic countries,
Germany, the United Kingdom, the United State of America, and Australia will be considered in this thesis.
It has been aimed to answer in what way renewable production, energy storage, and demand response are affecting electricity systems and market, and what is electricity production structure in different five countries which have discussed in this thesis. The thesis is struggled to recognize what are the similarities and differences of day-ahead electricity markets in those five areas based on literature review and data analyses.
Besides, it is distinguished to find out the comparison between the intraday market based on the literature review in each country. In the end, it is concluded that the need for flexibility of demand response potential in production or demand side in selected countries
Analyzing the current electricity system, introducing of the deregulated electricity market and revolution, comprehending literature review of electricity markets of different countries and market places, analyzing the operation of different electricity markets, and comparing of the market mechanism, are the targets of this thesis.
1.2 Research methodology and materials
This thesis is going to discuss about the day-ahead and intraday electricity market in five different areas such as Nordic countries, Germany, United Kingdom, Australia, and the U.S.A. Firstly it has been explained the production structure in each country, afterward studying on day-ahead and the intraday market for each country, and in the end, these markets are going to be compared. Similarities and differences between day-ahead markets have been analyzed based on a comparison of data. Intraday markets are not defined in the USA and Australia. UK intraday market is initiating but there are no data about it. So intraday data in Nordic countries and Germany has been discussed and analyzed for one day and one month. All in all the objective of this thesis is to understand the reason behind similarities and variation between markets in different countries.
The research is compiling some existing data from various resources that have been used and processing them. The research method is a mixture of secondary data analysis and literature review for day-ahead markets and intraday markets.
The research method is a kind of “secondary data analyze” or “archival study”.It is attempting to achieving each of the selected countries' market patterns and correlating with each other. Data have been extracted from various websites like Nordpool for Nordic countries, Germany, and the UK. Agora Enrgiewende is for Germany, AEMO
and Opennem are for Australia, energy information administration (eia.gov), and ener-gy online for the USA. These are the main companies in electricity exchange markets.
1.3 Content of the thesis
In chapter two theoretical backgrounds of different electricity markets, the influence of renewable energies on market and power systems, various kinds of energy storage, and demand response and impact of them on the grid and market have been discussed.
Chapter three determines electricity production, energy storage, and market structure in Nordic countries, Germany, United Kingdom, U.S.A, and Australia.
Chapter four compares the differences and similarities of the day-ahead market on selected countries based on evaluating data on literature review and data inspected by Microsoft Excel.
Chapter five explains of contrast and congruity of the intraday market in selected countries only relying on the literature review.
And finally, chapter six investigates the value and role of demand response on markets and constructs a meaningful conclusion of this thesis writing.