Impact of local energy markets integration in power systems layer: A comprehensive review

In recent years extensive research has been conducted on the development of different models that enable energy trading between prosumers and consumers due to expected high integration of distributed energy resources. Some of the most researched mechanisms include Peer-to-Peer energy trading, Community Self-Consumption and Transactive Energy Models. To ensure the stable and reliable delivery of electricity as such markets and models grow, this paper aims to understand the impact of these models on grid infrastructure, including impacts on the control, operation, and planning of power systems, interaction between multiple market models and impact on transmission network. Here, we present a comprehensive review of existing research on impact of Local Energy Market integration in power systems layer. We detect and classify most common issues and benefits that the power grid can expect from integrating these models. We also present a detailed overview of methods that are used to integrate physical network constraints into the market mechanisms, their advantages, drawbacks, and scaling potential. In addition, we present different methods to calculate and allocate network tariffs and power losses. We find that financial energy transactions do not directly reflect the physical energy flows imposed by the constraints of the installed electrical infrastructure. In the end, we identify a number of different challenges and detect research gaps that need to be addressed in order to integrate Local Energy Market models into existing infrastructure

Modelling and Simulation Approaches for Local Energy Community Integrated Distribution Networks

Due to the absence of studies of local energy communities (LECs) where the grid is represented, it is very difficult to infer implications of increased LEC integration for the distribution grid as well as for the wider society. Therefore, this paper aims to investigate holistic modelling and simulation approaches of LECs. To conduct a quantifiable assessment of different control architectures, LEC types and market frameworks, a flexible and comprehensive LEC modelling and simulation approach is needed. Modelling LECs and the environment they operate in involves a holistic approach consisting of different layers: market, controller, and grid. The controller layer is relevant both for the overall energy management system of the LEC and the controllers of single components in a LEC. In this paper, the different LEC modelling approaches in the reviewed literature are presented, several multilayered concepts for LECs are proposed, and a case study is presented to illustrate a holistic simulation where the different layers interact.Modelling and Simulation Approaches for Local Energy Community Integrated Distribution NetworkspublishedVersio

Fusion of Model-free Reinforcement Learning with Microgrid Control: Review and Vision

Challenges and opportunities coexist in microgrids as a result of emerging large-scale distributed energy resources (DERs) and advanced control techniques. In this paper, a comprehensive review of microgrid control is presented with its fusion of model-free reinforcement learning (MFRL). A high-level research map of microgrid control is developed from six distinct perspectives, followed by bottom-level modularized control blocks illustrating the configurations of grid-following (GFL) and grid-forming (GFM) inverters. Then, mainstream MFRL algorithms are introduced with an explanation of how MFRL can be integrated into the existing control framework. Next, the application guideline of MFRL is summarized with a discussion of three fusing approaches, i.e., model identification and parameter tuning, supplementary signal generation, and controller substitution, with the existing control framework. Finally, the fundamental challenges associated with adopting MFRL in microgrid control and corresponding insights for addressing these concerns are fully discussed.Comment: 14 pages, 4 figures, published on IEEE Transaction on Smart Grid 2022 Nov 15. See: https://ieeexplore-ieee-org.utk.idm.oclc.org/stamp/stamp.jsp?arnumber=995140

Smart Grid, Demand Response and Optimization: A Critical Review of Computational Methods

In view of scarcity of traditional energy resources and environmental issues, renewable energy resources (RERs) are introduced to fulfill the electricity requirement of growing world. Moreover, the effective utilization of RERs to fulfill the varying electricity demands of customers can be achieved via demand response (DR). Furthermore, control techniques, decision variables and offered motivations are the ways to introduce DR into distribution network (DN). This categorization needs to be optimized to balance the supply and demand in DN. Therefore, intelligent algorithms are employed to achieve optimized DR. However, these algorithms are computationally restrained to handle the parametric load of uncertainty involved with RERs and power system. Henceforth, this paper focuses on the limitations of intelligent algorithms for DR. Furthermore, a comparative study of different intelligent algorithms for DR is discussed. Based on conclusions, quantum algorithms are recommended to optimize the computational burden for DR in future smart grid

Advanced Optimization and Data-Driven Control in Smart Grid

The power grids are continuously evolving over the past decades, where new challenges and opportunities are embraced at the same time. On one hand, the penetration of renewable generations and other distributed energy resources (DER) is growing rapidly, whose different generation and control patterns could significantly impact the daily operation. On the other hand, the new communication, monitoring and regulating devices are gradually installed, which enable more control abilities of the generations, demands, and grids, and the feasibility to deploy more sophisticated control schemes.To leverage the new technique and overcome the new challenges in the smart girds, different optimization and control problems need to be solved for different roles including the system operator, demand, and financial traders. For the system operators, it is critical to maximizing the total social welfare while satisfying the operational constraints. To better coordinate the DER and improve the efficiency of distribution systems, the three-phase optimal power flow (OPF) problem algorithms are developed including the DCOPF algorithm for robustness and the ACOPF algorithm for optimality. Moreover, the deep reinforcement learning-based Volt-VAR control schemes are proposed to better maintain the voltage stability and electricity service quality.For demands resources, minimizing their energy bills will satisfy the energy needs is always their goal. Providing ancillary services by proactively adjusting their total demand is one of the potential choices. Through the provision of the services, the demands can not only receiving incentives from the system operators but also help to improve the reliability and stability of power grids. We develop control schemes specifically for the data centers to provide the phase balancing service in the distribution system and the frequency regulation service in the transmission system. The financial traders, it is desired to maximize their total profits. A better trading strategy with a more accurate forecast model can help increase the traders' gain and further improve the price convergence of the electricity market. Our machine learning based trading framework outperforms the existing approach and lays the foundation for market efficiency evaluation across the markets

Blockchain and artificial intelligence enabled peer-to-peer energy trading in smart grids

Peer-to-peer (P2P) energy trading allows smart grid-connected parties to trade renewable energy with each other. It is widely considered a scheme to mitigate the supplydemand imbalances during peak-hour. In a P2P energy trading system, users (e.g., prosumers, Electric Vehicles (EV)) increase their utility by trading energy securely with each other at a lower price than that of the main grid. However, three challenges hinder the development of secured P2P energy trading systems. First, there is a lack of implicit trust and transparency between trading participants because they do not know each other. Second, P2P energy trading systems cannot offer an intelligent trading strategy that could maximize users’ (agents’) utility. This is because the agents may lack previous trading experience data that enable them to select an optimal trading strategy. Third, the current energy trading platforms are mainly centralized, which makes them vulnerable to malicious attacks and Single point of failure (SPOF). This may interrupt the transaction validation mechanism when the system is compromised, and the central database is unavailable. [...

A Generalized hierarchical transactive energy management framework for residential microgrids

This work develops a transactive energy management system in order to automate the operation and efficiently utilize the energy generated from the solar PV unit and BESS in a single house as well as in the microgrid and provides cost-benefit analysis

Smart Grid Enabling Low Carbon Future Power Systems Towards Prosumers Era

In efforts to meet the targets of carbon emissions reduction in power systems, policy makers formulate measures for facilitating the integration of renewable energy sources and demand side carbon mitigation. Smart grid provides an opportunity for bidirectional communication among policy makers, generators and consumers. With the help of smart meters, increasing number of consumers is able to produce, store, and consume energy, giving them the new role of prosumers. This thesis aims to address how smart grid enables prosumers to be appropriately integrated into energy markets for decarbonising power systems. This thesis firstly proposes a Stackelberg game-theoretic model for dynamic negotiation of policy measures and determining optimal power profiles of generators and consumers in day-ahead market. Simulation results show that the proposed model is capable of saving electricity bills, reducing carbon emissions, and increasing the penetration of renewable energy sources. Secondly, a data-driven prosumer-centric energy scheduling tool is developed by using learning approaches to reduce computational complexity from model-based optimisation. This scheduling tool exploits convolutional neural networks to extract prosumption patterns, and uses scenarios to analyse possible variations of uncertainties caused by the intermittency of renewable energy sources and flexible demand. Case studies confirm that the proposed scheduling tool can accurately predict optimal scheduling decisions under various system scales and uncertain scenarios. Thirdly, a blockchain-based peer-to-peer trading framework is designed to trade energy and carbon allowance. The bidding/selling prices of individual prosumers can directly incentivise the reshaping of prosumption behaviours. Case studies demonstrate the execution of smart contract on the Ethereum blockchain and testify that the proposed trading framework outperforms the centralised trading and aggregator-based trading in terms of regional energy balance and reducing carbon emissions caused by long-distance transmissions