Incorporate day-ahead robustness and real-time incentives for electricity market design

In this paper, we propose a two-stage electricity market framework to explore the participation of distributed energy resources (DERs) in day-ahead (DA) and real-time (RT) market. The objective is determine optimal bidding strategies aggregated DERs DA generate online incentive signals for DER-owners optimize social-welfare taking into account network operational constraints. Distributionally robust optimization used explicitly incorporate data-based statistical information renewable forecasts supply/demand decisions We evaluate conservativeness distinguished by different risk aversion settings. RT market, bi-level time-varying problem proposed design tradeoff imbalance penalty distribution system operators (DSOs) costs individual DER-owners. This enables tracking their dispatch provide fast balancing services, presence states while satisfying voltage regulation requirement. Simulation results on both wholesale demonstrate necessity design, its robustness uncertainties, performance convergence, ability feasibility resulting operations.