Abstract
•Application of stochastic optimization for OPF-based power system problems.•How to deal with uncertainties such as renewable generation and electricity price.•A comprehensive review of important stochastic OPF-based problems.
The optimal-power-flow-based problems, such as economic dispatch, unit commitment, optimal power flow, market clearing, and power system expansion planning, are subject to various uncertainties which include, but are not limited to, demand fluctuation, generation/transmission outages, adverse weather conditions, and electricity pricing. The large integration of renewable energy resources, such as wind and solar, has further caused additional uncertainties due to the variable and unpredictable nature of these resources. However, the next generation smart power systems are also equipped with enabling technologies such as control, communication, and powerful computing capabilities that could be utilized to better deal with these uncertainties and operate the power system at a stable, reliable, and economic operating point. Stochastic optimization is a powerful tool that enables power system operators to deal with such uncertainties. This paper provides a technical overview of recent advancements in this area and further provides an insight on the treatment of next-generation power systems considering the involved high level of uncertainty.