Solar Power Forecasting Performance – Towards Industry Standards

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Solar Power Forecasting Performance – Towards Industry Standards Solar Power Forecasting Performance – Towards Industry Standards V. Kostylev and A. Pavlovski within utility and ISO operations. State-of-the-art solar Abstract-- Due to the rapid increase in deployment and high power forecasting is seen as a major tool to address the penetration of solar power generation worldwide, solar power risks related to the high share of variable solar generation generation forecasting has become critical to variable within the electricity mix, limiting curtailment of generation integration planning, and within utility and generation and reducing idle backup capacity. Moreover, it independent system operator (ISO) operations. Utilities and ISOs require day ahead and hour ahead as well as intra-hour is seen as an important component of the Smart Grid solar power forecasts for core operations - solar power toolbox enabling efficient demand-side management and producers and energy traders also require high quality solar demand response measures. power forecasts. Currently all major participants in the electricity value As a result of the erroneously perceived simplicity of solar chain: solar power producers, utilities and ISOs – show radiation forecasting, very often non-repeatable, poorly considerable interest in high-precision solar power forecasts explained or obscure estimates of solar power forecast performance are used. This creates uncertainty with the and imply their own technical requirements to forecast quality of forecasting service, as well as unrealistic outputs and quality. Utilities and ISOs require solar power expectations of possible forecast precision. As a result, there is forecasts for core operations; solar power producers, in an immediate need for defining a common methodology for certain jurisdictions, are mandated to provide power evaluating forecast performance, establishing verification forecasts by their power purchase agreements. procedures, and setting common standards for industry- approved quality of solar forecast performance. There are, however, no industry standards defining Solar power forecast quality claims can be easily verified applicable and credible data sources, forecast technologies when the source of forecast is known. Most often the offered and validating procedures established thus far. This creates power generation forecasts are based on publically available uncertainty with the quality of forecasting service, as well results of Numerical Weather Prediction (NWP) models and as unrealistic expectations of possible forecast precision. To on the use of empirical relationships between solar resource enable the industry with high-precision solar forecasts there and generated power at a specific plant. The quality of these is an immediate need for defining a common methodology forecasts is limited by the quality of the NWP models utilized, which is known. Less frequently, solar radiation is estimated for evaluating forecast performance, establishing based on proprietary models such as satellite-based or total verification procedures and setting common standards for sky imager–based cloud cover and radiation forecasts. In such industry-approved quality of solar forecast performance. cases, there are also known limits to the accuracy of At present, there are no widely recognized standards or prediction which can help objectively evaluate claims of the recommended practices and procedures. There is an forecast service companies. immediate need in developing recommended practices for This paper is proposing a set of standards for evaluating intra hour, hour ahead, day ahead and week ahead solar solar radiation forecasting techniques which would assist in power forecast performance. The proposed standards are producing more reliable forecasts, optimally utilizing the based on sound methodologies and extensive field practice and current levels of meteorological science and computer offer a solid ground for reliable inter-agency comparisons of technologies. Such recommendations depend on the degree forecast performance. of understanding of limitation of the existing approaches, particularly NWP and statistical methods commonly used Index Terms — Forecast standards, RMSE, bias, persistence, NWP, performance evaluation. by the solar forecast industry. This publication presents an approach to developing industry standards in solar power I. INTRODUCTION forecasting with the focus on evaluation of solar forecast performance. UE to the rapid increase in deployment and high D penetration of solar power in electricity grids A. Solar Power Forecast Time Scales worldwide, solar power generation forecasting has become The most critical technical requirements to solar power critical to variable generation integration planning and forecasting are defined by forecast time scales demanded by the electricity value chain participants. This group, V. Kostylev and A. Pavlovski are with Green Power Labs Inc., One however, does not provide clear and detailed explanation of Research Dr. Dartmouth, Nova Scotia, Canada (e-mail: the practical uses of these forecasts in reference to practical [email protected]). benefits. forecast evaluation is a matter of a separate study (being Most common industry-requested operational forecasts prepared for publication elsewhere) and we will offer only and their corresponding granularity are the following: several observations on metrics deserving the highest Intra–Hour: 15 minutes to 2 hours ahead with 30 attention. RMSE statistic is the most commonly reported in seconds to 5 minute granularity (relates to ramping forecast accuracy claims. While it is a good measure of events, variability related to operations) forecast uncertainty the published values are often non- Hour Ahead: One to 6 hours ahead with hourly informative because: 1) When expressed as relative RMSE granularity (related to load following forecasting) (%) details are often missing on normalization (to mean or Day Ahead: One to 3 days ahead with hourly range of observed values for the analysis period), 2) Often granularity (relates to unit commitment, transmission decrease in RMSE compared to other methods or scheduling, and day ahead markets) persistence is discussed instead of actual values, and 3) In Medium-term: Week to 2 months ahead, with daily analyses of power generation RMSE is often expressed in granularity (hedging, planning, asset optimisation) percent of rated power rather than observed power output. Long-term: typically one or more years, with diurnal MAE has a specific meaning and it is loosely related to monthly and annual granularity (long-term time series RMSE because it puts less emphasis on the extreme analysis, resource assessment, site selection, and discrepancies between forecasted and observed values. MBE bankable documentation) also has different meaning and value to forecast Achieving high-accuracy forecasts at each of these time performance evaluation. It relates more to general over, or scales imposes specific requirements to applicable solar under-prediction over the analysis time span, rather than to radiation models, data sources, and forecasting techniques predictive power of forecast. Therefore, the values of these converting available data into quality solar power forecasts. three statistics tell different stories about forecast quality Day Ahead forecasts are needed for operational planning, and their published values depend on the time span of switching sources, programming backup, and short-term validation analysis, use of sunlight hours only, and data power purchases, as well as for planning of reserve usage, aggregation techniques which could render these values and peak load matching [1]. Medium-term forecasts are incomparable between studies. concerned with planning, plant optimization, risk assessment, while Long-term forecasts (also known as B. Use of Naïve Models resource assessment) are targeting return on investment A number of naïve approaches is commonly used as estimates. Along this time continuum different forecasting benchmarks for demonstrating relative accuracy of approaches and evaluation techniques should be used. forecasts. Persistence, as a forecasting principle, can be used for producing forecasts for minutes to hours-ahead II. EVALUATION OF FORECAST QUALITY time scales, and less commonly to forecast day ahead at A. Interpretation of statistical measures clear sky conditions. At the same time, persistence–based forecasts are the most commonly used for comparison with Forecast performance testing is often approached from commercial forecast performance. Similarly to that of other established analytical practices without clear understanding performance metrics, the methodological details of of relevance of the performance measures to particular ‘persistence–based comparisons’ are commonly poorly management applications (e.g. plant operation and described. management, energy trading etc.). This leads to reporting a General logic of the persistence based testing is the variety of metrics for a subset of forecast scales of practical assumption of no change, i.e. forecasted conditions assumed importance. Mean absolute error (MAE), mean bias error similar to current. Various variations of persistence-based (MBE) and root mean square error (RMSE) are the three modeling in solar radiation forecasts are 1) assuming that most commonly used statistics to test solar radiation the forecasted values equal current values (e.g. [3]) 2) forecast performance. In evaluations of solar radiation assuming that the relative values of
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