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An Algorithm for Determining a Price Arbitrage Strategy for Energy Storage Facilities in the Day-Ahead Market

O. Havva, V. Evdokimov

Èlektron. model. 2026, 48(5):114-129

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Українська версія

Abstract

The pressing problem of long-term planning for the participation of an energy storage facility (ESF) operator in the day-ahead market (DAM) is solved. Typical arbitrage cycles have been developed that can be implemented on Ukraine’s day-ahead market. It is shown that the problem of formulating an optimal strategy for an ESS operator’s participation in the day-ahead market boils down to finding typical arbitrage cycles that satisfy profitability requirements. To reduce the computational complexity of the long-term planning problem, an algorithm based on set operations (relational algebra) is proposed. This approach has made it possible to unify the procedures for finding optimal ESS operating modes and can be implemented quite simply in modern information systems based on relational databases using SQL commands. Limiting the level of detail in the UZE’s technological processes is a justified compromise given the low accuracy of long-term market forecasts.

Keywords

simulation modeling, optimization algorithm, energy storage facility, price arbitrage, “day-ahead” market

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Received 29.06.2026