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A bi-level dispatch optimization of multi-microgrid considering green electricity consumption willingness under renewable portfolio standard policy

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  • Wang, Tonghe
  • Hua, Haochen
  • Shi, Tianying
  • Wang, Rui
  • Sun, Yizhong
  • Naidoo, Pathmanathan

Abstract

Under the policy of renewable portfolio standard (RPS), many microgrid (MG) users with high electricity consumption are installed with renewable energy (RE) generation devices to complete their RE consumption responsibility and reduce carbon emissions. In view of the conflict between the goals of microgrid operators (MGO) and MG users, it is a challenge to achieve economic optimization for both MGO and MG users at the same time when they participate in system dispatch and complete RE consumption responsibility. Therefore, this paper proposes a bi-level noncooperative dispatch strategy that takes into account user satisfaction and RE consumption willingness. In this bi-level model, the upper level is led by an MGO who decides electricity retail prices, while the lower level is followed by MG users who participate in demand response (DR) and change electricity purchase strategies. First, a novel comprehensive evaluation model is formulated to evaluate users' willingness to consume green electricity. Based on this, users' consumption behavior of green and thermal electricity is modeled independently not only in electricity trading but also in power dispatching. Second, optimization objectives are established with the goal of maximizing MG users' welfare, including user satisfaction improvement and energy purchase cost reduction, as well as maximizing the revenue of the MGO. Then, a Stackelberg game model is constructed, and a differential evolution algorithm nested CPLEX is used to solve the Stackelberg game problem of balancing the interests of both parties. Finally, our simulation analysis shows that under the dispatch strategy in this paper, load peak-valley difference is reduced. In addition, when the green electricity generated within the system is sufficient, based on a high level of users' willingness to consume green electricity, the total consumption of green electricity is increased by 29.5% and the overall welfare of users is increased by 0.75%.

Suggested Citation

  • Wang, Tonghe & Hua, Haochen & Shi, Tianying & Wang, Rui & Sun, Yizhong & Naidoo, Pathmanathan, 2024. "A bi-level dispatch optimization of multi-microgrid considering green electricity consumption willingness under renewable portfolio standard policy," Applied Energy, Elsevier, vol. 356(C).
    • Handle: RePEc:eee:appene:v:356:y:2024:i:c:s0306261923017920
    DOI: 10.1016/j.apenergy.2023.122428
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    Cited by:

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    2. Wanting Yu & Xin Zhang & Mingli Cui & Tiantian Feng, 2024. "Construction and Application of the Double Game Model for Direct Purchase of Electricity by Large Consumers under Consideration of Risk Factors," Energies, MDPI, vol. 17(8), pages 1-24, April.
    3. Pan, Yushu & Ju, Liwei & Yang, Shenbo & Guo, Xinyu & Tan, Zhongfu, 2024. "A multi-objective robust optimal dispatch and cost allocation model for microgrids-shared hybrid energy storage system considering flexible ramping capacity," Applied Energy, Elsevier, vol. 369(C).
    4. Suroso Isnandar & Jonathan F. Simorangkir & Kevin M. Banjar-Nahor & Hendry Timotiyas Paradongan & Nanang Hariyanto, 2024. "A Multiparadigm Approach for Generation Dispatch Optimization in a Regulated Electricity Market towards Clean Energy Transition," Energies, MDPI, vol. 17(15), pages 1-28, August.
    5. Yong Fang & Minghao Li & Yunli Yue & Zhonghua Liu, 2024. "Two-Tier Configuration Model for the Optimization of Enterprise Costs and User Satisfaction for Rural Microgrids," Mathematics, MDPI, vol. 12(20), pages 1-19, October.

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