Optimal dispatch of uncertain energy resources

The future of the electric grid requires advanced control technologies to reliably integrate high level of renewable generation and residential and small commercial distributed energy resources (DERs). Flexible loads are known as a vital component of future power systems with the potential to boost the overall system efficiency. Recent work has expanded the role of flexible and controllable energy resources, such as energy storage and dispatchable demand, to regulate power imbalances and stabilize grid frequency. This leads to the DER aggregators to develop concepts such as the virtual energy storage system (VESS). VESSs aggregate the flexible loads and energy resources and dispatch them akin to a grid-scale battery to provide flexibility to the system operator. Since the level of flexibility from aggregated DERs is uncertain and time varying, the VESSs’ dispatch can be challenging. To optimally dispatch uncertain, energy-constrained reserves, model predictive control offers a viable tool to develop an appropriate trade-off between closed-loop performance and robustness of the dispatch. To improve the system operation, flexible VESSs can be formulated probabilistically and can be realized with chance-constrained model predictive control. The large-scale deployment of flexible loads needs to carefully consider the existing regulation schemes in power systems, i.e., generator droop control. In this work first, we investigate the complex nature of system-wide frequency stability from time-delays in actuation of dispatchable loads. Then, we studied the robustness and performance trade-offs in receding horizon control with uncertain energy resources. The uncertainty studied herein is associated with estimating the capacity of and the estimated state of charge from an aggregation of DERs. The concept of uncertain flexible resources in markets leads to maximizing capacity bids or control authority which leads to dynamic capacity saturation (DCS) of flexible resources. We show there exists a sensitive trade-off between robustness of the optimized dispatch and closed-loop system performance and sacrificing some robustness in the dispatch of the uncertain energy capacity can significantly improve system performance. We proposed and formulated a risk-based chance constrained MPC (RB-CC-MPC) to co-optimize the operational risk of prematurely saturating the virtual energy storage system against deviating generators from their scheduled set-point. On a fast minutely timescale, the RB-CC-MPC coordinates energy-constrained virtual resources to minimize unscheduled participation of ramp-rate limited generators for balancing variability from renewable generation, while taking into account grid conditions. We show under the proposed method it is possible to improve the performance of the controller over conventional distributionally robust methods by more than 20%. Moreover, a hardware-in-the-loop (HIL) simulation of a cyber-physical system consisting of packetized energy management (PEM) enabled DERs, flexible VESSs and transmission grid is developed in this work. A predictive, energy-constrained dispatch of aggregated PEM-enabled DERs is formulated, implemented, and validated on the HIL cyber-physical platform. The experimental results demonstrate that the existing control schemes, such as AGC, dispatch VESSs without regard to their energy state, which leads to unexpected capacity saturation. By accounting for the energy states of VESSs, model-predictive control (MPC) can optimally dispatch conventional generators and VESSs to overcome disturbances while avoiding undesired capacity saturation. The results show the improvement in dynamics by using MPC over conventional AGC and droop for a system with energy-constrained resources

Smart Energy Management for Smart Grids

This book is a contribution from the authors, to share solutions for a better and sustainable power grid. Renewable energy, smart grid security and smart energy management are the main topics discussed in this book

Three essays on the economics of renewable energy in small island economies

In chapter 1, we introduce mechanism and present results of an integrated investment appraisal of an onshore wind farm for electricity generation in Cape-Verde that is owned and operated by a private investor. From the perspective of the electric utility and the economy, the results of such an ex-ante financial and economic appraisal of wind electricity generation depends critically on one’s view of the expected long-term level of future fossil fuel prices, negotiations of the power purchase agreement (PPA) price and wind capacity factor. In Chapter 2, we investigate the impacts of wind and solar renewable power sources on both electricity generation and planning by employing and applying a cost minimization model in Cyprus. The cost minimization model demonstrates that the use of wind alone and mix of wind and solar power in an electricity generation mix reduces the overall cost of the system. Due to high cost of electricity generation from fuel oil in Cyprus, we conclude that shift toward wind and solar mix of energy sources in Cyprus will have significant impact by means of cost reduction. Therefore, integrating these renewables will essentially contribute to the welfare of Cypriot consumers alongside its environmental and health benefits associated in them. In Chapter 3, we study the impacts of implementing real-time electricity pricing (RTP) in the Cypriot electricity market with and without wind/solar capacities. We use a merit order stack approach to generation investment and operation decisions. Empirical results show that dynamic pricing will increase generation capacity utilization by means of reduction in equilibrium installed capacity reduction and increase in load factors of off-peak plants. These savings are larger at higher demand elasticities. The emissions from electricity generation will potentially increase resulting from increased energy consumption, however. Because wind (solar) availability comes mostly during low (high) demand hours when relatively cleaner (dirtier) plants operate in the system, we find that there is considerable potential for capital cost savings and emission savings from smart metering even with only a small consumer response and at moderate participation in the programme. At the current costs of solar, investing in wind alone will however yield higher bill savings

Energy Management of Grid-Connected Microgrids, Incorporating Battery Energy Storage and CHP Systems Using Mixed Integer Linear Programming

In this thesis, an energy management system (EMS) is proposed for use with battery energy storage systems (BESS) in solar photovoltaic-based (PV-BESS) grid-connected microgrids and combined heat and power (CHP) applications. As a result, the battery's charge/discharge power is optimised so that the overall cost of energy consumed is minimised, considering the variation in grid tariff, renewable power generation and load demand. The system is modelled as an economic load dispatch optimisation problem over a 24-hour time horizon and solved using mixed integer linear programming (MILP) for the grid-connected Microgrid and the CHP application. However, this formulation requires information about the predicted renewable energy power generation and load demand over the next 24 hours. Therefore, a long short-term memory (LSTM) neural network is proposed to achieve this. The receding horizon (RH) strategy is suggested to reduce the impact of prediction error and enable real-time implementation of the energy management system (EMS) that benefits from using actual generation and demand data in real-time. At each time-step, the LSTM predicts the generation and load data for the next 24 h. The dispatch problem is then solved, and the real-time battery charging or discharging command for only the first hour is applied. Real data are then used to update the LSTM input, and the process is repeated. Simulation results using the Ushant Island as a case study show that the proposed online optimisation strategy outperforms the offline optimisation strategy (with no RH), reducing the operating cost by 6.12%. The analyses of the impact of different times of use (TOU) and standard tariff in the energy management of grid-connected microgrids as it relates to the charge/discharge cycle of the BESS and the optimal operating cost of the Microgrid using the LSTM-MILP-RH approach is evaluated. Four tariffs UK tariff schemes are considered: (1) Residential TOU tariff (RTOU), (2) Economy seven tariff (E7T), (3) Economy ten tariff (E10T), and (4) Standard tariff (STD). It was found that the RTOU tariff scheme gives the lowest operating cost, followed by the E10T tariff scheme with savings of 63.5% and 55.5%, respectively, compared to the grid-only operation. However, the RTOU and E10 tariff scheme is mainly used for residential applications with the duck curve load demand structure. For community grid-connected microgrid applications except for residential-only communities, the E7T and STD, with 54.2% and 39.9%, respectively, are the most likely options offered by energy suppliers. The use of combined heat and power (CHP) systems has recently increased due to their high combined efficiency and low emissions. Using CHP systems in behind-the-meter applications, however, can introduce some challenges. Firstly, the CHP system must operate in load-following mode to prevent power export to the grid. Secondly, if the load drops below a predefined threshold, the engine will operate at a lower temperature and hence lower efficiency, as the fuel is only half-burnt, creating significant emissions. The aforementioned issues may be solved by combining CHP with a battery energy storage system. However, the dispatch of CHP and BESS must be optimised. Offline optimisation methods based on load prediction will not prevent power export to the grid due to prediction errors. Therefore, a real-time EMS using a combination of LSTM neural networks, MILP, and RH control strategy is proposed. Simulation results show that the proposed method can prevent power export to the grid and reduce the operational cost by 8.75% compared to the offline method. The finding shows that the BESS is a valuable asset for sustainable energy transition. However, they must be operated safely to guarantee operational cost reduction and longer life for the BESS

Investigation on electricity market designs enabling demand response and wind generation

Demand Response (DR) comprises some reactions taken by the end-use customers to decrease or shift the electricity consumption in response to a change in the price of electricity or a specified incentive payment over time. Wind energy is one of the renewable energies which has been increasingly used throughout the world. The intermittency and volatility of renewable energies, wind energy in particular, pose several challenges to Independent System Operators (ISOs), paving the way to an increasing interest on Demand Response Programs (DRPs) to cope with those challenges. Hence, this thesis addresses various electricity market designs enabling DR and Renewable Energy Systems (RESs) simultaneously. Various types of DRPs are developed in this thesis in a market environment, including Incentive-Based DR Programs (IBDRPs), Time-Based Rate DR Programs (TBRDRPs) and combinational DR programs on wind power integration. The uncertainties of wind power generation are considered through a two-stage Stochastic Programming (SP) model. DRPs are prioritized according to the ISO’s economic, technical, and environmental needs by means of the Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) method. The impacts of DRPs on price elasticity and customer benefit function are addressed, including the sensitivities of both DR parameters and wind power scenarios. Finally, a two-stage stochastic model is applied to solve the problem in a mixed-integer linear programming (MILP) approach. The proposed model is applied to a modified IEEE test system to demonstrate the effect of DR in the reduction of operation cost.A Resposta Dinâmica dos Consumidores (DR) compreende algumas reações tomadas por estes para reduzir ou adiar o consumo de eletricidade, em resposta a uma mudança no preço da eletricidade, ou a um pagamento/incentivo específico. A energia eólica é uma das energias renováveis que tem sido cada vez mais utilizada em todo o mundo. A intermitência e a volatilidade das energias renováveis, em particular da energia eólica, acarretam vários desafios para os Operadores de Sistema (ISOs), abrindo caminho para um interesse crescente nos Programas de Resposta Dinâmica dos Consumidores (DRPs) para lidar com esses desafios. Assim, esta tese aborda os mercados de eletricidade com DR e sistemas de energia renovável (RES) simultaneamente. Vários tipos de DRPs são desenvolvidos nesta tese em ambiente de mercado, incluindo Programas de DR baseados em incentivos (IBDRPs), taxas baseadas no tempo (TBRDRPs) e programas combinados (TBRDRPs) na integração de energia eólica. As incertezas associadas à geração eólica são consideradas através de um modelo de programação estocástica (SP) de dois estágios. Os DRPs são priorizados de acordo com as necessidades económicas, técnicas e ambientais do ISO por meio da técnica para ordem de preferência por similaridade com a solução ideal (TOPSIS). Os impactes dos DRPs na elasticidade do preço e na função de benefício ao cliente são abordados, incluindo as sensibilidades dos parâmetros de DR e dos cenários de potência eólica. Finalmente, um modelo estocástico de dois estágios é aplicado para resolver o problema numa abordagem de programação linear inteira mista (MILP). O modelo proposto é testado num sistema IEEE modificado para demonstrar o efeito da DR na redução do custo de operação

Integration of EVs and DGs into the Electric Power System for Grid Modernization

Electric power systems (EPSs) are rapidly becoming more complex. Penetration of distributed generators (DGs) are increasing rapidly. Among them, DG units with intermittent renewables resources, such as solar or wind, are attracting more attention. Moreover, plug in electric vehicles (EVs) are expected to be deployed in large numbers over the next decade. These changes present opportunities as well as challenges for reliable and efficient operation of EPS. Integrating EVs in large scale, would result in over-loading of EPS. Interconnection of DGs could impact adversely on the system operation including power quality and safety of the EPS. However, due to the growing number of EVs in the system, faster charging, shorter battery reaction time, and vehicle-to-grid services, EVs could be attractive sources for system operators (SOs) to improve system reliability while creating opportunity for EV owners to gain monetary benefits. In addition, the potential benefits of DG could be sustained in avoiding or shifting investment in transmission lines and/or transformers, minimizing ohmic losses, and protecting the environment. In this dissertation, potential benefits and challenges of EVs and DGs are explored. For some potential benefits, the dissertation develops systematic frameworks, in order to facilitate integration of EVs and DGs into the EPS. Also for some challenges, the dissertation presents solutions to analyze and overcome related difficulties. To study consequences of integrating EVs, a comprehensive model of EV operation is presented. The model covers different modes of operation and includes impact of battery degradation during the operation. The model is then extended to control a large group of EVs efficiently. Several possible ancillary services which could be offered by EVs, including voltage and frequency regulation services, are discussed. Several systematic frameworks are developed to engage EVs in provision of ancillary services, from economical and technical view points. Simulation results clearly indicate EVs ability to participate in ancillary services and possible revenue stream for EV owners. In terms of DGs, the dissertation addresses a common issue in most of utility companies and that is the risk of unintentional islanding of interconnected DGs. A systematic procedure is presented in this dissertation which can detect any possible operating conditions leading to an unintentional islanding of DGs. The developed procedure can serve utility companies as an analytical tool for any interconnection study, in a timely and costly efficient manner. The procedure is not dependent on the anti-islanding schemes nor DG technologies. Simulation results of different real case studies prove the generality and practicality of the procedure