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Redouane Silvente

Publications and source records attributed to Redouane Silvente.

2 recordsLinked to original sources

Parametric and Generative Forecasts of EPEX Day-Ahead Energy Market Curves

We propose two methodologies for modelling aggregated supply and demand curves in the EPEX SPOT Day-Ahead market, emphasizing generative models as a way to recover distributional variability. The first is a low-dimensional parametric representation that yields deterministic point forecasts; the second is a high-dimensional order-level representation that samples from a conditional distribution of plausible curves. Both model the full curve structure, enabling the analysis of price sensitivity, volume sensitivity, and price impact. The parametric representation uses plateau levels, elastic-region boundaries, and polynomial coefficients, forecast with eXtreme Gradient Boosting. The main contribution is the generative representation, which uses price arrivals and volume-increment marks and is implemented with conditional Denoising Diffusion Probabilistic Models. Using French EPEX data from 2021 to 2024, we evaluate both approaches through curve reconstruction and a price-maker storage optimization problem. The parametric implementation provides a deterministic reference, while the diffusion-based implementation produces distributions of plausible curves and achieves higher realized profits and smaller gaps to an oracle benchmark in the storage application.

cs.LG

Price impact and long-term profitability of energy storage

We study the price impact of storage facilities in electricity markets and analyze the long-term profitability of these facilities in prospective scenarios of energy transition. To this end, we begin by characterizing the optimal operating strategy for a stylized storage system, assuming an arbitrary exogenous price process. Following this, we determine the equilibrium price in a market comprising storage systems (acting as price takers), renewable energy producers, and conventional producers with a defined supply function, all driven by an exogenous demand process. The price process is characterized as a solution to a fully coupled system of forward-backward stochastic differential equations, for which we establish existence and uniqueness under appropriate assumptions. We finally illustrate the impact of storage on intraday electricity prices through numerical examples and show how the revenues of storage agents may evolve in prospective energy transition scenarios from RTE, the French energy electricity network operator, taking into account both the increasing penetration of renewable energies and the self-cannibalization effect of growing storage capacity. We find that both the average revenues and the interquantile ranges increase in all scenarios, highlighting higher expected profits and higher risk for storage assets.

q-fin.MF