Premium
Performance estimation of a wind farm with a dependence structure between electricity price and wind speed
Author(s) -
Casula Laura,
D'Amico Guglielmo,
Masala Giovanni,
Petroni Filippo
Publication year - 2020
Publication title -
the world economy
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.594
H-Index - 68
eISSN - 1467-9701
pISSN - 0378-5920
DOI - 10.1111/twec.12962
Subject(s) - wind speed , electricity , econometrics , wind power , economics , turbine , autoregressive model , vector autoregression , value (mathematics) , estimation , meteorology , statistics , mathematics , physics , engineering , electrical engineering , management , thermodynamics
Abstract This paper aimed to estimate the income generated by a wind turbine over a given time interval. The income depends on two main variables: the wind speed that determines the produced energy and electricity price. Both wind speed and electricity price evolve randomly in time and are correlated. To consider this dependency, we applied a vector autoregressive process (VAR) that links both variables. An application was performed using real data from a hypothetical wind turbine located in Sardinia (Italy). The income simulated by using the VAR model was closer to the empirical value compared with that obtained by simulating wind speed and electricity prices as independent variables. The results were also discussed in relation to the introduction of the SAPEI submarine cable, which produces a significant change in the income value.