STOCHASTIC HEAT-STORAGE PROBLEM - SOLVED BY THE PROGRESSIVE HEDGING ALGORITHM

In the present study, a problem concerning operation of a heat storage tank in connection with a combined heat and power (CHP) plant is cons idered. The heat storage is used to supply the district heating system when the CHP plant is producing electric power alone and also to redi stribute optimally over time the required heat production. Stochastici ty is assumed attached to the future power production, and it is assum ed that accurate predictions of the future heat consumption are availa ble. A receding horizon idea is used. The problem is solved by the Pro gressive Hedging Algorithm (PHA), a recently developed method to deal with multi-period optimization problems under uncertainty. The applica tion of the method is explained in detail.