Stochastic Battery Operations using Deep Neural Networks

In this paper, we introduce a scenario-based optimal control framework to account for the forecast uncertainty in battery arbitrage problems. Due to the uncertainty of prices and variations of forecast errors, it is challenging for battery operators to design profitable strategies in electricity markets. Without any explicit assumption or model for electricity price forecasts' uncertainties, we generate future price scenarios via a data-driven, learning-based approach. By aiding the predictive control with such scenarios representing possible realizations of future markets, our proposed real-time controller seeks the optimal charge/discharge levels to maximize profits. Simulation results on a case-study of California-based batteries and prices show that our proposed method can bring higher profits for different battery parameters.