Distributed Stochastic Market Clearing with High-Penetration Wind Power

Integrating renewable energy into the modern power grid requires risk-cognizant dispatch of resources to account for the stochastic availability of renewables. Toward this goal, day-ahead stochastic market clearing with high-penetration wind energy is pursued in this paper based on the DC optimal power flow (OPF). The objective is to minimize the social cost which consists of conventional generation costs, end-user disutility, as well as a risk measure of the system re-dispatching cost. Capitalizing on the conditional value-at-risk (CVaR), the novel model is able to mitigate the potentially high risk of the recourse actions to compensate wind forecast errors. The resulting convex optimization task is tackled via a distribution-free sample average based approximation to bypass the prohibitively complex high-dimensional integration. Furthermore, to cope with possibly large-scale dispatchable loads, a fast distributed solver is developed with guaranteed convergence using the alternating direction method of multipliers (ADMM). Numerical results tested on a modified benchmark system are reported to corroborate the merits of the novel framework and proposed approaches.Comment: To appear in IEEE Transactions on Power Systems; 12 pages and 9 figure

Demand response performance and uncertainty: A systematic literature review

The present review has been carried out, resorting to the PRISMA methodology, analyzing 218 published articles. A comprehensive analysis has been conducted regarding the consumer's role in the energy market. Moreover, the methods used to address demand response uncertainty and the strategies used to enhance performance and motivate participation have been reviewed. The authors find that participants will be willing to change their consumption pattern and behavior given that they have a complete awareness of the market environment, seeking the optimal decision. The authors also find that a contextual solution, giving the right signals according to the different behaviors and to the different types of participants in the DR event, can improve the performance of consumers' participation, providing a reliable response. DR is a mean of demand-side management, so both these concepts are addressed in the present paper. Finally, the pathways for future research are discussed.This article is a result of the project RETINA (NORTE-01-0145- FEDER-000062), supported by Norte Portugal Regional Operational Programme (NORTE 2020), under the PORTUGAL 2020 Partnership Agreement, through the European Regional Development Fund (ERDF). We also acknowledge the work facilities and equipment provided by GECAD research center (UIDB/00760/2020) to the project team, and grants CEECIND/02887/2017 and SFRH/BD/144200/2019.info:eu-repo/semantics/publishedVersio

Simulation modeling for energy consumption of residential consumers in response to demand side management.

Energy efficiency in the electricity distribution system continues to gain importance as demand for electricity keeps rising and resources keep diminishing. Achieving higher energy efficiency by implementing control strategies and demand response (DR) programs has always been a topic of interest in the electric utility industry. The advent of smart grids with enhanced data communication capabilities propels DR to be an essential part of the next generation power distribution system. Fundamentally, DR has the ability to charge a customer the true price of electricity at the time of use, and the general perception is that consumers would shift their load to a cheaper off-peak period. Consequently, when designing incentives most DR literature assumes consumers always minimize total electricity cost when facing energy consumption decisions. However, in practice, it has been shown that customers often override financial incentives if they feel strongly about the inconvenience of load-shifting arrangements. In this dissertation, an energy consumption model based on consumers‟ response to both cost and convenience/comfort is proposed in studying the effects of differential pricing mechanisms. We use multi-attribute utility functions and a model predictive control mechanism to simulate consumer behavior of using non-thermostatic loads vi (prototypical home appliances) and thermostatically controlled load (HVAC). The distributed behavior patterns caused by risk nature, thermal preferences, household size, etc. are all incorporated using an object-oriented simulation model to represent a typical residential population. The simulation based optimization platform thus developed is used to study various types of pricing mechanisms including static and dynamic variable pricing. There are many electric utilities that have applied differential pricing structures to influence consumer behavior. However, majority of current DR practices include static variable pricings, since consumer response to dynamic prices is very difficult to predict. We also study a novel pricing method using demand charge on coincident load. Such a pricing model is based on consumers‟ individual contribution to the monthly system peak, which is highly stochastic. We propose to use the conditional Markov chain to calculate the probability that the system will reach a peak, and subsequently simulate consumers‟ behavior in response to that peak. Sensitivity analysis and comparisons of various rate structures are done using simulation. Overall, this dissertation provides a simulation model to study electricity consumers‟ response to DR programs and various rate structures, and thus can be used to guide the design of optimal pricing mechanism in demand side management

Managing Price Uncertainty in Prosumer-Centric Energy Trading: A Prospect-Theoretic Stackelberg Game Approach

In this paper, the problem of energy trading between smart grid prosumers, who can simultaneously consume and produce energy, and a grid power company is studied. The problem is formulated as a single-leader, multiple-follower Stackelberg game between the power company and multiple prosumers. In this game, the power company acts as a leader who determines the pricing strategy that maximizes its profits, while the prosumers act as followers who react by choosing the amount of energy to buy or sell so as to optimize their current and future profits. The proposed game accounts for each prosumer's subjective decision when faced with the uncertainty of profits, induced by the random future price. In particular, the framing effect, from the framework of prospect theory (PT), is used to account for each prosumer's valuation of its gains and losses with respect to an individual utility reference point. The reference point changes between prosumers and stems from their past experience and future aspirations of profits. The followers' noncooperative game is shown to admit a unique pure-strategy Nash equilibrium (NE) under classical game theory (CGT) which is obtained using a fully distributed algorithm. The results are extended to account for the case of PT using algorithmic solutions that can achieve an NE under certain conditions. Simulation results show that the total grid load varies significantly with the prosumers' reference point and their loss-aversion level. In addition, it is shown that the power company's profits considerably decrease when it fails to account for the prosumers' subjective perceptions under PT

Demand Response Program Integrated With Electrical Energy Storage Systems for Residential Consumers

This article presents a distributed resilient demand response program integrated with electrical energy storage systems for residential consumers to maximize their comfort level. A dynamic real-time pricing method is proposed to determine the hourly electricity prices and schedule the electricity consumption of smart home appliances and energy storage systems commitment. The algorithm is employed in normal and emergency operating conditions, taking into account the comfort level of consumers. In emergency conditions, the power outage of consumers is modeled for different hours and outage patterns. To evaluate the applicability of the proposed model, real samples of Southern California households are considered to model the smart homes and their appliances. Further, a sensitivity analysis is performed to assess the impacts of the number of households and number of persons per household on the output results. The results showed that the proposed model reduced the costs of utility in normal and emergency conditions by about 33.77% and 30.92%, respectively. The values of total payments of consumers in normal and emergency conditions were decreased by about 34.26% and 31.31%, respectively. Further, the consumers comfort level for normal and emergency conditions increased by about 146.78% and 110.2%, respectively. Finally, the social welfare for normal and emergency conditions increased by about 46% and 49.06%, respectively.© 2022 IEEE. Personal use of this material is permitted. Permission from IEEE must be obtained for all other uses, in any current or future media, including reprinting/republishing this material for advertising or promotional purposes, creating new collective works, for resale or redistribution to servers or lists, or reuse of any copyrighted component of this work in other works.fi=vertaisarvioitu|en=peerReviewed