{"ID":2861078,"CreatedAt":"2026-06-01T04:54:23.091178241Z","UpdatedAt":"2026-06-01T04:54:23.091178241Z","DeletedAt":null,"paper_url":"https://arxiv.org/abs/2510.03209","arxiv_id":"2510.03209","title":"Joint Bidding on Intraday and Frequency Containment Reserve Markets","abstract":"As renewable energy integration increases supply variability, battery energy storage systems (BESS) present a viable solution for balancing supply and demand. This paper proposes a novel approach for optimizing battery BESS participation in multiple electricity markets. We develop a joint bidding strategy that combines participation in the primary frequency reserve market with continuous trading in the intraday market, addressing a gap in the extant literature which typically considers these markets in isolation or simplifies the continuous nature of intraday trading. Our approach utilizes a mixed integer linear programming implementation of the rolling intrinsic algorithm for intraday decisions and state of charge recovery, alongside a learned classifier strategy (LCS) that determines optimal capacity allocation between markets. A comprehensive out-of-sample backtest over more than one year of historical German market data validates our approach: The LCS increases overall profits by over 4% compared to the best-performing static strategy and by more than 3% over a naive dynamic benchmark. Crucially, our method closes the gap to a theoretical perfect foresight strategy to just 4%, demonstrating the effectiveness of dynamic, learning-based allocation in a complex, multi-market environment.","short_abstract":"As renewable energy integration increases supply variability, battery energy storage systems (BESS) present a viable solution for balancing supply and demand. This paper proposes a novel approach for optimizing battery BESS participation in multiple electricity markets. We develop a joint bidding strategy that combines...","url_abs":"https://arxiv.org/abs/2510.03209","url_pdf":"https://arxiv.org/pdf/2510.03209v1","authors":"[\"Yiming Zhang\",\"Wolfgang Ridinger\",\"David Wozabal\"]","published":"2025-10-03T17:48:21Z","proceeding":"q-fin.CP","tasks":"[\"q-fin.CP\",\"cs.LG\",\"q-fin.TR\"]","methods":"[]","has_code":false}