Economic Study on Distributed Virtual Power Plants Participating in Shandong Power Market: A Case Study of Communication Base Stations

With the gradual development of renewable energy, Virtual Power Plants (VPPs) have become a key technology for optimizing power systems and enhancing the integration of renewable energy. This paper explores the economics of VPPs in the context of communication base stations, particularly their potential participation in the Shandong electricity market. VPPs aggregate distributed energy resources (such as battery storage in communication base stations) to regulate loads, thus improving the flexibility of the power system. The paper first constructs a multi-constraint economic analysis model to evaluate the revenues and costs of base station VPPs, with a focus on the impact of battery capacity on profits. The study shows that optimizing battery capacity can maximize corporate profits while balancing battery procurement costs and market participation revenues. The paper’s innovation lies in proposing an economic model based on base station characteristics and analyzing the adaptation of Shandong’s electricity market rules, providing theoretical support for related policies and corporate decisionmaking.

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Publication Details

Published
2025-05-23
DOI
https://doi.org/10.1109/ccai65422.2025.11189346
Primary Topic
Power Systems and Technologies
Type
article
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article

Economic Study on Distributed Virtual Power Plants Participating in Shandong Power Market: A Case Study of Communication Base Stations

D. Wang
Power Systems and Technologies
article

Economic Study on Distributed Virtual Power Plants Participating in Shandong Power Market: A Case Study of Communication Base Stations

D. Wang
article en

Abstract

With the gradual development of renewable energy, Virtual Power Plants (VPPs) have become a key technology for optimizing power systems and enhancing the integration of renewable energy. This paper explores the economics of VPPs in the context of communication base stations, particularly their potential participation in the Shandong electricity market. VPPs aggregate distributed energy resources (such as battery storage in communication base stations) to regulate loads, thus improving the flexibility of the power system. The paper first constructs a multi-constraint economic analysis model to evaluate the revenues and costs of base station VPPs, with a focus on the impact of battery capacity on profits. The study shows that optimizing battery capacity can maximize corporate profits while balancing battery procurement costs and market participation revenues. The paper’s innovation lies in proposing an economic model based on base station characteristics and analyzing the adaptation of Shandong’s electricity market rules, providing theoretical support for related policies and corporate decisionmaking.

China Energy Engineering Corporation (China) (CN)
Openalex Percentile: Top 72%
Power Systems and Technologies
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Economic Study on Distributed Virtual Power Plants Participating in Shandong Power Market: A Case Study of Communication Base Stations — D. Wang · (2025) | TGRS Research Map | TGRS