regularization

In order to obtain the ex-ante least-cost schedule of energy generation and reserves for online generating units, the system operator addresses a dynamic decision-making process known as the economic dispatch (ED) problem. Current industry practice involves adopting a deterministic two-stage optimization framework that relies on a one-day-ahead horizon and a forecast of uncertain parameters. The optimal solution to the resulting problem thus yields a generation schedule for the entire day ahead.

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A comparison of designs obtained by statistical and deterministic methods is being carried out. Points that are difficult to address in the statistical approaches are considered. A formulation of a regularized solution to experimental design is described in detail. The peculiarities of the optimal design for three types of regressions are revealed. The main factors that govern the estimation errors are determined.

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