Shayegan Rad, AliAliShayegan RadBadri, AliAliBadriZangeneh, AliAliZangenehKaltschmitt, MartinMartinKaltschmitt2019-05-212019-05-212019-05International Journal of Energy Research 6 (43): 2135-2150 (2019-05)http://hdl.handle.net/11420/2681This paper proposes a stochastic scheduling model to determine optimal operation of generation and storage units of a virtual power plant (VPP) for participating in a joint energy and regulation service (RS) market under uncertainty. Beside electricity, the VPP provides required RSs according to the probability of delivery request in the electricity market. A new model for providing RS is introduced in which the dispatchable generation units are financially compensated with their readiness declarations and will be charged/paid for their real-time down/up regulations. Besides, the VPP sets up incentive price-quantity curves to benefit from the potential of demand side management in both energy and RS market. Within the model presented here, the VPP consists of two types of generation units: wind turbine and standby diesel generator; the latter is modeled by considering CO 2 -emission penalty costs. The given uncertainties are divided into two parts. Firstly, the uncertainties from the energy market price are simulated using information gap decision theory to evaluate the risk-based resource scheduling for both risk-taker and risk-averse VPP. Other uncertainties affecting decision making such as wind turbine generation, load, regulation up/down calling probabilities, and regulation market prices are modeled via scenario trees. Three typical case studies are implemented to validate the performance and effectiveness of the proposed scheduling approach.en0363-907X2019621352150Journal Article10.1002/er.4418Other