Ravitheja, Rage2026-10-292026-10-292019http://nits.ndl.gov.in/handle/123456789/259Recently, wind energy penetration is growing rapidly because of its advantages like clean fuel sources, no greenhouse gases during its operation, in fact now a days wind energy prices have become comparable with those of conventional prices. But the challenging task is intermittent nature of wind the output power and terminal voltage of wind farm is fluctuating and this effects the profit. This thesis presents a simple and efficient approach to maximize the profit by operating pumped storage hydro (PSH) power plant and demand response (DR) according to the instruction from the wind-thermal hybrid plant on by considering minimum and maximum limits of pumped storage hydro power plant. Wind speed is predicted for day ahead market. Here the error between predicted and actual (real time market) is fulfilled with the pumped storage hydro plant and demand response. Main aim of the demand response is that rebound period (higher demand) aligns itself with the higher wind generation output period and lower generation time demand should be curtailed and the incentives are provided based on the curtailment of the demand. So that minimized the curtailment of wind energy and revenue loss. The pumping and generation of pumped storage hydro power plant depends upon wind power plant. At positive error of wind speed the pumped storage will generate energy by releasing the water from higher head to lower head and at negative error of wind speed pumping water from lower head to upper head. The proposed methodology is implemented using MATLAB interior point solver (MIPS) to solve optimum power flow problem. The implementation has been done with modified IEEE 30 bus system.enThesis