Forecasting tools are important in optimizing the operation of DR, DG and energy
storages. Activation time of DER is often one hour or more. At this time several
important variables such as imbalance charges, and wind power production, are still
undetermined. Moreover, because of production constraints, dispatching DG or calling
DR at one time will cause that it cannot be used at some later time, at which it could be
needed more. Having good forecasts can then help us scheduling production at the best
possible way.
In other words, the tools can be used to forecast prices and variable generation such as
heat demand driven CHP, run-of-river hydro power and wind power. Forecasts can of
course be extended further ahead to help also investment planning. These are
commonly socioeconomic forecasts about prices and technology development