Designing day-ahead multi-carrier markets for flexibility: Models and clearing algorithms

There is an intrinsic value in higher integration of multi-carrier energy systems (especially gas and electricity), to increase operational flexibility the electricity system improve allocation resources networks. The different carrier markets challenging due existence physical economic dependencies between carriers. We propose this paper integrated day-ahead gas, heat market clearing which includes new types orders constraints on these represent techno-economic con-version storage technologies. prove that proposed gives rise competitive equilibria. In addition, we two decentralised algorithms differ how decomposition underlying centralised optimisation problem performed. This has implications terms involved agents their mutual information exchange. It proven they yield solutions equivalent under a mild assumption sufficient number iterations. argue such mitigates (spot) risks faced by participants enables better spot pricing results show conversion/storage technology owners would suffer from losses and/or opportunity costs, if were obliged only use elementary orders. For test cases considered article, sum costs could reach up 13,000 €/day 9,000 respectively, compared with case where conversion are used.