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QR Generation & Bidding Optimization & Real-time Trading

Real-time Power Plant Generation & Bidding Optimization
Maximize Profit From Generation, Bidding and Sell to ISO
Real-time Trading, Bidding & Scheduling Dashboard
Data & Forecasting, ISO TH, Nodal, LPM Price & Load, Weather


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Unrivaled Real-time Electricity Generation Optimization, Power Plant Bidding Optimization Systems
boasting a staggering 12% profit increase.

Electricity Generation Optimization produces optimal (sub)-hourly power generation schedules. Power Plant Bidding Optimization generates optimal energy bids for ISO and market operators. Optimization objective is to maximize total profit from electricity generation and bidding sales to ISO. Applicable to real-time and day-ahead markets.
Real-time power trading system integrating optimization of electricity generation, optimization of bidding to ISO, scheduling and bidding dashboard, load and price forecasting and ISO electricity and weather data. Power plant generation models for coal, oil, gas and hydro generation.
Real-time business intelligence, visibility and trading performance analysis. Live Trading Panel displays and compares, intraday (sub)-hourly nodal P&L and positions, comparing actual and optimal generation and bidding strategies. Performance analysis for traders and management.
24/7 Cloud Supercomputer Electricity Generation Optimization and Bidding Optimization Service: ready-to-use solution. No development or customization required. Configuration takes just a week and you go live. All you need is a browser. Power plant optimization made easy.

Solution and Benefits to Clients

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    QR Generation & Bidding Optimizer goes well beyond unit commitment whose objective is to solely minimize generation cost irrespective of market prices, or planning tools which produce average generation plans. The objective of our optimization is to maximize net profit from generation and bidding to the nodal spot market of an ISO.
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    The real-time nature of our solution brings about high accuracy, using as input very precise short term price forecasts. Traders can thus continually adjust generation and bidding strategies to take full advantage of arbitrage and market opportunities arising from price movements in volatile spot and bilateral markets, and the ISO’s stack of bids and offers.
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    QR Bidding & Scheduling is a real-time electricity trading and scheduling platform integrating key functionalities. A single bidding and scheduling dashboard allows to view, edit and submit energy and reserves bids to the ISO, starting with the optimal bids as initial values. This live web-panel provides also real-time business intelligence by displaying load and price forecasting, trading performance analysis comparing the dispatch, MQ and P&L of actual and optimal bids to the ISO.

Next Generation Dual-use Cloud On-site Architecture

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  • Generation and ISO Bidding Optimization, Trading & Scheduling Cloud Services

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  • On-site Implementation

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  • New Commercial Paradigm

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QR Generation Optimization

Unrivaled platform integrating real-time generation and bidding optimization, scheduling, data and analytics, load and price forecasting.
We maximize electricity generation's net profit by dynamically substituting generation with real-time buy-sell in spot or bilateral markets, subject to all operational constraints.
    Optimization of thermal generation. We model thermal power generation as (sub)-hourly portfolios of path-dependent spark spread options.
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    Eliminating downside risk. When forecast spot price is lower than total power generation cost. Optimization minimizes generation, subject to ramp, and buys from the spot market to satisfy its committed load on the sales side if any. This minimizes all costs, fuel, emissions and OPX, as well as any unnecessary wear and tear.
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    Capturing upside market opportunities. When forecasted spot price is higher, or can be pushed higher than total generation costs. Optimization ramps up to maximize energy generation and sales to the spot or bilateral markets.
Optimization of hydro generation. We model hydro electricity generation as a (sub)-hourly portfolio of constrained path dependent time spread call options on the spot price. Optimization maximizes total generation profit over a day, by generating at the collection of highest priced forecasted spot prices periods, subject to all constraints such as water release schedule, availability, rates, conversion rule and rate of water to electricity, and plant's ramp and must run.

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Load and Price Forecasting
Stack Offer

QR Bidding Optimization

The biggest problem generators face is to optimally bid in multiple (e.g., 10) bands or blocks in an ISO. They often repeat static bids, some are successful and some miss the marginal bid, falling too short or too long, leading to losses and opportunity costs.


QR Bidding Optimization is automatically integrated with QR Generation Optimization. The latter first determines the generation level for every forward period the asset is forecasted to be in the money and to operate, including ramping shoulders. The bidding optimization then determines the set of bids (across multiple bands) that maximize the profit of generation's sales to the nodal spot market. This is done simultaneously for all forward periods across a day. When the plant is in the money, bidding optimization can act as a market taker by under bidding some competitors while bidding below the forecasted marginal bid to ensure higher dispatch. It can also act as a market maker and increase market prices by taking calculated risk and placing some bids, albeit of smaller quantities, at higher prices, withholding low price generation in order to push spot prices higher.

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Key Functions and Modules

Generation Optimization
Generation Optimization
Maximize (sub)-hourly generation profits against buy and sell in ISO spot market.

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Bidding Optimization
Bidding Optimization
Optimal (sub)-hourly bidding to ISO to maximize profit from generation and sell to ISO.

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Bidding & Scheduling
Bidding & Scheduling
(Sub)-hourly bidding dashboard. Comparison of actual, forecast and optimal data.

Read below.

Load Forecasting
Load Forecasting
Short & long term (sub)-hourly load forecast: ISO system, zonal & regional, & consumer load.

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Price Forecasting
Price Forecasting
Real-time short and long term (sub)-hourly ISO nodal, trading hub, LMP and zonal price forecast.

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ISO Solutions
ISO Solutions:
Connectivity, nodal load, price & settlement data. Automated back office ISO settlement.

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QR Bidding & Scheduling

    One integrated real-time trading, bidding and scheduling platform offering business intelligence as well as optimal trading, bidding and scheduling command and control capabilities.
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    QR Bidding & Scheduling Dashboard. A real-time (sub)-hourly bidding and scheduling dashboard integrating all relevant data: actual and forecast nodal price, optimal, nominal and standing bids and offers for energy and reserve ancillaries. Traders can start with the optimal bids suggested by the system, or any other bid type, modify, validate, approve and submit these electronically to the ISO, with a click of the mouse.
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    QR Real-time Performance Analysis Panel. This computes (sub)-hourly position and detailed nodal P&L (nodal sales, fuel and other costs) of each generation nodes, in real-time at every period. Results are gathered in a live web Trading and Performance Analysis Panel. P&L valuation is performed with an eye to performance analysis, comparing the optimal as suggested by the optimization, dispatched by the ISO, and actual confirmed meter achieved by traders, as every hour rolls. In one glance, traders can compare the different generation and bidding scenarios before making their bidding decision. Management is provided with real-time visibility and performance analysis of trading.
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    QR Real-time Analytics Data Panel. A live web Data Panel displays (sub)-hourly ISO actual and forecast data across all nodes and trading hubs of interests. Actual data comes up to current period while forecast covers forward periods. The panel displays data in visual plots and tabular format, across every period.

Optimization Model and Methodology

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    Detailed modeling of hydro and thermal power plants, ramp, operational constraints, heat-rates, outage, all costs, mixed fuel, OPX, start-up, shutdown and transmission costs. These lead to complex path dependent optimization problems with nonlinear objective function and constraints.
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    World-class team combining over half of century of expertise in modeling electricity markets, applied mathematics and cloud supercomputing.
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    Power generation optimization uses nonlinear optimization implemented in mixed-integer programming. Electricity bidding optimization is implemented via evolutionary optimization. Price forecasting is implemented via artificial intelligence. ISO's stack of bids & offers is modeled via Monte Carlo simulation.
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    Operational constraint: must run, min and max (sub)-hourly and daily generation, shutdown schedules, forced discreet generation levels, adjusting plant's capacity per periods.
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    Generation level dependent nonlinear heat-rate curves for thermal power plants, and water to power conversion curves for hydro plants.
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    Generation level dependent ramp-up and down rates. Ramp and constraints create path-dependency, whereby generation decision at any period impacts the remaining generation options for subsequent periods. Consecutive periods are optimized together, based on short term price forecast.
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    Modeling the P&L. Complex generation cost structure, mixed fuel and multiple currencies, level dependent nonlinear heat-rate curves. OPX per plant's run-time, and generated quantity, start and stop costs. Revenue side is defined by selling generation at specific nodes in an ISO spot market.
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    Fuel and emission management. Automated calculation of multiple fuel input required per type, corresponding to nominal and optimal dispatch load. Automated linking to gas nomination and scheduling. Automated calculation of multiple emissions outputs, SO2/NOX/CO2. And their integration to the overall P&L.
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    Outage lifecycle management. Scheduling planned outage, adjusting sudden changes in generation capacity. Synchronization with generation and bidding optimization module for plant's availability. Automated notification to dispatch authorities, ISO and market operators, as well as bilateral buyers such as utilities, co-ops and retailers.
Comprehensive Solution
Frequently Asked Questions
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    Our solutions comprises data and analytics models. Weather, electricity market (ISOs, power pools, etc.) nodal price, load and stack of bids and offers, and client's meter data are automatically fetched 24/7, at the frequency and timescale of publication. These are automatically used as input for real-time load price and offer stack forecasting, and made available through our system.
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    The optimization module determines (sub)-hourly energy generation profile and bids across a diverse generation portfolio, which maximizes the total generation and bidding profit over short horizons, while respecting all generation constraints.
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    How to use this Optimization Solution? Price forecast is the key input to generation optimization. We offer very accurate short term price forecast, which is recomputed (sub)-hourly around the clock. Generation and Bidding Optimization can thus generate profits with high degree of accuracy if used dynamically every (sub)-hourly period within a day to decide about generation for the next allowable few periods, and repeat this around the clock.
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    Can a generation asset under contract be optimized, or just merchant plant?
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      We can only optimize the variable revenue that we control, that is generation and bidding. Bilateral sales are fixed revenue and don't affect the optimization objective. All generation assets can be optimized, whether merchant or contacted.
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      When the asset is in the money optimization wants the plant to generate to maximum capacity subject to all constraints, and sell for profit to the ISO. The extra profit is due to the quantity exceeding the bilateral sales commitment.
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      On the flip side, when the price forecast is lower than generation cost and the asset is out of money, optimization lowers generation to the extent possible to avoid losses, and buys from the market to satisfy the bilateral sales.
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      In short, if your plant is 200 MWh, and 50 MWh are under bilateral contracts. It is the whole 200 MWh we optimize, and not just the 150 MWh.
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    What type of power plant is optimizable?
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      Optimization requires generation flexibility, which depends to a large degree on ramping ability. Faster ramping plants are more suitable for optimization. On the cost side, optimization is more valuable for plants with high fuel costs. Peaking hydro, gas and oil plants are prime candidate for optimization on the upside. These can be merchant or committed to some load contracts.
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      Mid-merit plants can also be optimized especially when committed to some sales contracts. During off peak hour when the plant is out of the money, it is optimal to shut the plant down and buy from the market to satisfy the load contract. This not only saves on fuel but on wear and tear and repairs. Thanks to its precise price forecasting, the optimization will ramp up to generate on time for when it turns in the money.
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    How much generation capacity can be optimized? Any generation MW quantity that can be ramped up /down in 2 hrs. and whose bidding to an ISO you control. E.g., a 500 MW plant (hydro, gas, oil, coal) with a 60 MW/hr. ramp can be optimized for 120 MW.
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    Does the solution model the effect my generation has on increasing or decreasing the market nodal price? Absolutely, for if not the optimal bids would be meaningless. The Bidding Optimization proceeds first by forecasting or simulating the system load, price and stack of bids of your market. Every bid tried out during the optimization process, modifies the stack and produces a new system price which is used to compute the P&L of energy sales in the marker. Therefore, the optimal bid affects the market price in a manner that maximizes the P&L.