IDEAS home Printed from https://ideas.repec.org/a/eee/appene/v210y2018icp881-895.html
   My bibliography  Save this article

Optimization problem for meeting distribution system operator requests in local flexibility markets with distributed energy resources

Author

Listed:
  • Olivella-Rosell, Pol
  • Bullich-Massagué, Eduard
  • Aragüés-Peñalba, Mònica
  • Sumper, Andreas
  • Ottesen, Stig Ødegaard
  • Vidal-Clos, Josep-Andreu
  • Villafáfila-Robles, Roberto

Abstract

The increasing penetration of distributed energy resources in the distribution grid is producing an ever-heightening interest in the use of the flexibility on offer by said distributed resources as an enhancement for the distribution grid operator. This paper proposes an optimization problem which enables satisfaction of distribution system operator requests on flexibility. This is a decision-making problem for a new aggregator type called Smart Energy Service Provider (SESP) to schedule flexible energy resources. This aggregator operates a local electricity market with high penetration of distributed energy resources. The optimization operation problem of SESP is formulated as an MILP problem and its performance has been tested by means of the simulation of test cases in a local market. The novel problem has also been validated in a microgrid laboratory with emulated loads and generation units. The performed tests produced positive results and proved the effectiveness of the proposed solution.

Suggested Citation

  • Olivella-Rosell, Pol & Bullich-Massagué, Eduard & Aragüés-Peñalba, Mònica & Sumper, Andreas & Ottesen, Stig Ødegaard & Vidal-Clos, Josep-Andreu & Villafáfila-Robles, Roberto, 2018. "Optimization problem for meeting distribution system operator requests in local flexibility markets with distributed energy resources," Applied Energy, Elsevier, vol. 210(C), pages 881-895.
  • Handle: RePEc:eee:appene:v:210:y:2018:i:c:p:881-895
    DOI: 10.1016/j.apenergy.2017.08.136
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0306261917311522
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.apenergy.2017.08.136?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Prieto-Araujo, E. & Olivella-Rosell, P. & Cheah-Mañe, M. & Villafafila-Robles, R. & Gomis-Bellmunt, O., 2015. "Renewable energy emulation concepts for microgrids," Renewable and Sustainable Energy Reviews, Elsevier, vol. 50(C), pages 325-345.
    2. Spiliotis, Konstantinos & Ramos Gutierrez, Ariana Isabel & Belmans, Ronnie, 2016. "Demand flexibility versus physical network expansions in distribution grids," Applied Energy, Elsevier, vol. 182(C), pages 613-624.
    3. Poudineh, Rahmatallah & Jamasb, Tooraj, 2014. "Distributed generation, storage, demand response and energy efficiency as alternatives to grid capacity enhancement," Energy Policy, Elsevier, vol. 67(C), pages 222-231.
    4. Junjie Hu & Guangya Yang & Yusheng Xue, 2017. "Economic Assessment of Network-Constrained Transactive Energy for Managing Flexible Demand in Distribution Systems," Energies, MDPI, vol. 10(5), pages 1-16, May.
    5. Ottesen, Stig Odegaard & Tomasgard, Asgeir, 2015. "A stochastic model for scheduling energy flexibility in buildings," Energy, Elsevier, vol. 88(C), pages 364-376.
    6. Verzijlbergh, R.A. & De Vries, L.J. & Dijkema, G.P.J. & Herder, P.M., 2017. "Institutional challenges caused by the integration of renewable energy sources in the European electricity sector," Renewable and Sustainable Energy Reviews, Elsevier, vol. 75(C), pages 660-667.
    7. Miles Lubin & Iain Dunning, 2015. "Computing in Operations Research Using Julia," INFORMS Journal on Computing, INFORMS, vol. 27(2), pages 238-248, May.
    8. Kamyab, Farhad & Bahrami, Shahab, 2016. "Efficient operation of energy hubs in time-of-use and dynamic pricing electricity markets," Energy, Elsevier, vol. 106(C), pages 343-355.
    9. Alizadeh, M.I. & Parsa Moghaddam, M. & Amjady, N. & Siano, P. & Sheikh-El-Eslami, M.K., 2016. "Flexibility in future power systems with high renewable penetration: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 57(C), pages 1186-1193.
    10. Pandžić, Hrvoje & Kuzle, Igor & Capuder, Tomislav, 2013. "Virtual power plant mid-term dispatch optimization," Applied Energy, Elsevier, vol. 101(C), pages 134-141.
    11. Resch, Matthias & Bühler, Jochen & Klausen, Mira & Sumper, Andreas, 2017. "Impact of operation strategies of large scale battery systems on distribution grid planning in Germany," Renewable and Sustainable Energy Reviews, Elsevier, vol. 74(C), pages 1042-1063.
    12. Eid, Cherrelle & Bollinger, L. Andrew & Koirala, Binod & Scholten, Daniel & Facchinetti, Emanuele & Lilliestam, Johan & Hakvoort, Rudi, 2016. "Market integration of local energy systems: Is local energy management compatible with European regulation for retail competition?," Energy, Elsevier, vol. 114(C), pages 913-922.
    13. Pandžić, Hrvoje & Morales, Juan M. & Conejo, Antonio J. & Kuzle, Igor, 2013. "Offering model for a virtual power plant based on stochastic programming," Applied Energy, Elsevier, vol. 105(C), pages 282-292.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jin, Xiaolong & Wu, Qiuwei & Jia, Hongjie, 2020. "Local flexibility markets: Literature review on concepts, models and clearing methods," Applied Energy, Elsevier, vol. 261(C).
    2. Wei, Congying & Xu, Jian & Liao, Siyang & Sun, Yuanzhang & Jiang, Yibo & Ke, Deping & Zhang, Zhen & Wang, Jing, 2018. "A bi-level scheduling model for virtual power plants with aggregated thermostatically controlled loads and renewable energy," Applied Energy, Elsevier, vol. 224(C), pages 659-670.
    3. Yu, Songyuan & Fang, Fang & Liu, Yajuan & Liu, Jizhen, 2019. "Uncertainties of virtual power plant: Problems and countermeasures," Applied Energy, Elsevier, vol. 239(C), pages 454-470.
    4. Chinmoy, Lakshmi & Iniyan, S. & Goic, Ranko, 2019. "Modeling wind power investments, policies and social benefits for deregulated electricity market – A review," Applied Energy, Elsevier, vol. 242(C), pages 364-377.
    5. Perera, A.T.D. & Nik, Vahid M. & Wickramasinghe, P.U. & Scartezzini, Jean-Louis, 2019. "Redefining energy system flexibility for distributed energy system design," Applied Energy, Elsevier, vol. 253(C), pages 1-1.
    6. Luis Hernández-Callejo, 2019. "A Comprehensive Review of Operation and Control, Maintenance and Lifespan Management, Grid Planning and Design, and Metering in Smart Grids," Energies, MDPI, vol. 12(9), pages 1-50, April.
    7. Shabanzadeh, Morteza & Sheikh-El-Eslami, Mohammad-Kazem & Haghifam, Mahmoud-Reza, 2016. "A medium-term coalition-forming model of heterogeneous DERs for a commercial virtual power plant," Applied Energy, Elsevier, vol. 169(C), pages 663-681.
    8. Guoqiang Sun & Weihang Qian & Wenjin Huang & Zheng Xu & Zhongxing Fu & Zhinong Wei & Sheng Chen, 2019. "Stochastic Adaptive Robust Dispatch for Virtual Power Plants Using the Binding Scenario Identification Approach," Energies, MDPI, vol. 12(10), pages 1-23, May.
    9. Gerard, Helena & Rivero Puente, Enrique Israel & Six, Daan, 2018. "Coordination between transmission and distribution system operators in the electricity sector: A conceptual framework," Utilities Policy, Elsevier, vol. 50(C), pages 40-48.
    10. Nosratabadi, Seyyed Mostafa & Hooshmand, Rahmat-Allah & Gholipour, Eskandar, 2017. "A comprehensive review on microgrid and virtual power plant concepts employed for distributed energy resources scheduling in power systems," Renewable and Sustainable Energy Reviews, Elsevier, vol. 67(C), pages 341-363.
    11. Martín-Martínez, F. & Sánchez-Miralles, A. & Rivier, M. & Calvillo, C.F., 2017. "Centralized vs distributed generation. A model to assess the relevance of some thermal and electric factors. Application to the Spanish case study," Energy, Elsevier, vol. 134(C), pages 850-863.
    12. Cruz, Marco R.M. & Fitiwi, Desta Z. & Santos, Sérgio F. & Catalão, João P.S., 2018. "A comprehensive survey of flexibility options for supporting the low-carbon energy future," Renewable and Sustainable Energy Reviews, Elsevier, vol. 97(C), pages 338-353.
    13. Kasaei, Mohammad Javad & Gandomkar, Majid & Nikoukar, Javad, 2017. "Optimal management of renewable energy sources by virtual power plant," Renewable Energy, Elsevier, vol. 114(PB), pages 1180-1188.
    14. Amiri, S. & Honarvar, M. & sadegheih, A., 2018. "Providing an integrated Model for Planning and Scheduling Energy Hubs and preventive maintenance," Energy, Elsevier, vol. 163(C), pages 1093-1114.
    15. Gacitua, L. & Gallegos, P. & Henriquez-Auba, R. & Lorca, Á. & Negrete-Pincetic, M. & Olivares, D. & Valenzuela, A. & Wenzel, G., 2018. "A comprehensive review on expansion planning: Models and tools for energy policy analysis," Renewable and Sustainable Energy Reviews, Elsevier, vol. 98(C), pages 346-360.
    16. Mohammad Mohammadi Roozbehani & Ehsan Heydarian-Forushani & Saeed Hasanzadeh & Seifeddine Ben Elghali, 2022. "Virtual Power Plant Operational Strategies: Models, Markets, Optimization, Challenges, and Opportunities," Sustainability, MDPI, vol. 14(19), pages 1-23, September.
    17. Rakipour, Davood & Barati, Hassan, 2019. "Probabilistic optimization in operation of energy hub with participation of renewable energy resources and demand response," Energy, Elsevier, vol. 173(C), pages 384-399.
    18. Naval, Natalia & Yusta, Jose M., 2021. "Virtual power plant models and electricity markets - A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 149(C).
    19. Oluwaseun Oladimeji & Álvaro Ortega & Lukas Sigrist & Luis Rouco & Pedro Sánchez-Martín & Enrique Lobato, 2022. "Optimal Participation of Heterogeneous, RES-Based Virtual Power Plants in Energy Markets," Energies, MDPI, vol. 15(9), pages 1-19, April.
    20. Zamani, Ali Ghahgharaee & Zakariazadeh, Alireza & Jadid, Shahram, 2016. "Day-ahead resource scheduling of a renewable energy based virtual power plant," Applied Energy, Elsevier, vol. 169(C), pages 324-340.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:appene:v:210:y:2018:i:c:p:881-895. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/405891/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.