Distributed energy resources (DERs) are playing an increasing role in ancillary services for the bulk grid, particularly in frequency regulation. In this paper, we propose a framework for collections of DERs, combined to form microgrids and controlled by aggregators, to participate in frequency regulation markets. Our approach covers both the identification of bids for the market clearing stage and the mechanisms for the real-time allocation of the regulation signal. The proposed framework is hierarchical, consisting of a top layer and a bottom layer. The top layer consists of the aggregators communicating in a distributed fashion to optimally disaggregate the regulation signal requested by the system operator. The bottom layer consists of the DERs inside each microgrid whose power levels are adjusted so that the tie line power matches the output of the corresponding aggregator in the top layer. The coordination at the top layer requires the knowledge of cost functions, ramp rates and capacity bounds of the aggregators. We develop meaningful abstractions for these quantities respecting the power flow constraints and taking into account the load uncertainties, and propose a provably correct distributed algorithm for optimal disaggregation of regulation signal amongst the microgrids.
Motivated by the need of assessing the optimal allocation of battery energy storage services across various markets and the corresponding impact on market operations, an optimization framework is proposed in this work to coordinate the operation of an independent utility-scale price-maker battery energy storage system (BESS) in the energy, spinning reserve and performance-based regulation markets. The entire problem is formulated as a bi-level optimization process, where the structure of all markets is modeled considering the joint operation limits. The strategic bidding behavior of a price-ma…
This paper proposes a bi-level optimization framework to investigate the optimal market operation strategies of price-maker battery energy storage systems (BESSs) in real-time energy, spinning reserve, and pay as performance regulation markets, with a special focus on understanding BESS's excessive regulation market participation observed by several system operators and the impact of battery degradation cost on BESS market activities. An accurate battery degradation cost function is integrated into the BESS's strategic bidding model. An automatic generation control (AGC) signal dispatch model …
In this paper, a distribution system operator (DSO) framework is proposed to optimally coordinate distributed energy resources (DER) aggregators' comprehensive participation in retail energy market as well as wholesale energy and regulation markets. Various types of DER aggregators, including energy storage aggregators (ESAGs), dispatchable distributed generation aggregators (DDGAGs), electric vehicles charging stations (EVCSs), and demand response aggregators (DRAGs), are modeled in the proposed DSO framework. Distribution network constraints are considered by using a linearized power flow. T…
The recent decrease in battery manufacturing costs stimulates the market participation of utility-scale battery energy storage systems (BESSs). However, battery degradation remains a major concern for BESS owners while determining their BESS investment and operation strategies. This paper studies the impact of battery degradation on BESS's operation and revenue/cost in real-time energy, reserve, and pay as performance regulation markets. Comparative case studies are performed on two optimization frameworks which model the participation of a price-maker BESS in energy and ancillary services mar…
Demand flexibility plays a pivotal role in modern power systems with high penetration of variable energy resources. In recent years, one of the fastest-growing flexible energy demands has been proof-of-work-based cryptocurrency mining facilities. Due to their competitive ramping capabilities and demonstrated flexibility, such fast-responding loads are capable of participating in frequency regulation services for the grid while simultaneously increasing their own operational revenue. In this paper, we investigate the physical and economic viability of employing cryptocurrency mining facilities …
Proof-of-work computation used in cryptocurrencies has witnessed significant growth in the U.S. and many other regions around the world. One of the most significant bottlenecks for the scalable deployment of such computation is its energy demand. On the other hand, the electric energy system is increasing the need for flexibility for energy balancing and ancillary services due to the intermittent nature of many new energy resources such as wind and solar. In this work, we model the operation of a cryptomining facility with heterogeneous mining devices participating in ancillary services. We pr…
In this paper, a distribution system operator (DSO) framework is proposed for comprehensive retail and wholesale markets participation of distributed energy resource (DER) aggregators under uncertainty based on two-stage stochastic programming. Different kinds of DER aggregators including energy storage aggregators (ESAGs), demand response aggregators (DRAGs), electric vehicle (EV) aggregating charging stations (EVCSs), dispatchable distributed generation (DDG) aggregators (DDGAGs), and renewable energy aggregators (REAGs) are modeled. Distribution network operation constraints are considered …
The problem of the large-scale aggregation of the behind-the-meter demand and generation resources by a distributed-energy-resource aggregator (DERA) is considered. As a profit-seeking wholesale market participant, a DERA maximizes its profit while providing competitive services to its customers with higher consumer/prosumer surpluses than those offered by the distribution utilities or community choice aggregators. A constrained profit maximization program for aggregating behind-the-meter generation and consumption resources is formulated, from which payment functions for the behind-the-meter …
We design a coordination mechanism between a distribution system operator (DSO) and distributed energy resource aggregators (DERAs) participating directly in the wholesale electricity market. Aimed at ensuring system reliability while providing open access to DERAs, the coordination mechanism includes a forward auction that allocates access limits to aggregators based on aggregators' bids that represent their benefits of aggregation. The proposed coordination mechanism results in decoupled DSO and DERAs operations that satisfy the network constraints, independent of the stochasticity of the re…
This paper proposes a deep learning-based optimal battery management scheme for frequency regulation (FR) by integrating model predictive control (MPC), supervised learning (SL), reinforcement learning (RL), and high-fidelity battery models. By taking advantage of deep neural networks (DNNs), the derived DNN-approximated policy is computationally efficient in online implementation. The design procedure of the proposed scheme consists of two sequential processes: (1) the SL process, in which we first run a simulation with an MPC embedding a low-fidelity battery model to generate a training data…
This paper presents the development of a real-time T&D co-simulation testbed for simulating large grids under high DER penetration. By integrating bulk power system, distribution feeders, and distributed energy resources (DER) models into one simulation environment, the testbed enables the performance analysis and validation of DER management systems (DERMS) algorithms. This work proposes a co-simulation timestep sequence for the cross-platform data exchange and time synchronization, with a communication framework based on MQTT communication protocol. The proposed strategy is tested with a 5,0…
Power producers can exhibit strategic behavior in electricity markets to maximize their profits. This behavior is more pronounced with the deregulation of distribution markets, which offers an opportunity for profit arbitrage between transmission and distribution (T&D) markets. However, the temporally distinct nature of these two markets introduces a significant risk in profit for such producers. This paper derives its motivation from the perspective of a strategic producer and develops a Single Leader Multi-Follower (SLMF) game for deriving its participation strategies in T&D markets, while a…
Battery energy storage systems (BESS) are proving to be an effective solution in providing frequency regulation services to the bulk grid. However, there are several concerns for the transmission/distribution system operators (TSO/DSO) with the frequent dispatching of the distribution-connected fast-responding storage systems. Unfortunately, the existing decoupled models for transmission and distribution (T&D) simulations are unable to capture the complex interactions between the two systems especially concerning frequency regulation problems due to rapidly varying distribution-connected distr…
Packetized energy management (PEM) is a demand dispatch scheme that can be used to provide ancillary services such as frequency regulation. In PEM, distributed energy resources (DERs) are granted uninterruptible access to the grid for a pre-specified time interval called the packet length. This results in a down ramp-limited response in PEM for DERs that can only consume power from the grid. In this work, a linearized virtual battery model of PEM is provided that is capable of predicting the down-ramp limited output of PEM and is used in a model predictive control (MPC) framework to improve th…
Increasing integration of distributed energy resources (DERs) within distribution feeders provides unprecedented flexibility at the distribution-transmission interconnection. With the new FERC 2222 order, DER aggregations are allowed to participate in energy market. To enable market participation, these virtual power plants need to provide their generation cost curves. This paper proposes efficient optimization formulations and solution approaches for the characterization of hourly as well as multi-time-step generation cost curves for a distribution system with high penetration of DERs. Networ…
This paper proposes a disturbance-observer-based control (DOBC) scheme for frequency and voltage regulation for a renewable energy sources (RES) integrated power systems. The proposed approach acts a feed-forward control which improves the dynamic performance of the conventional proportional-integral-derivative (PID) controller. Robustness of the proposed control scheme has been validated through simulations under worst-case and stochastic uncertainties to mitigate real-time variability in RES output and load. The performance of the proposed control technique is compared to well established te…
The Regional Transmission Operators each have unique methods to procure frequency regulation reserves used to track real power fluctuations on the grid. Some market clearing practices result in high regulation prices with large spread compared to other markets. We present the frequency regulation market clearing formulations--as derived from operator tariffs--of the ISO New England, PJM Interconnection, and Midcontinent ISO. We offer test case examples to explain the historic market pricing behavior seen within each system operator and conclude this behavior is due to the inclusion of estimate…
Distributed energy resource (DER) frequency regulations are promising technologies for future grid operation. Unlike conventional generators, DERs might require open communication networks to exchange signals with control centers, possibly through DER aggregators; therefore, the impacts of the communication variations on the system stability need to be investigated. This paper develops a cyber-physical dynamic simulation model based on the Hierarchical Engine for Large-Scale Co-Simulation (HELICS) to evaluate the impact of the communication variations, such as delays in DER frequency regulatio…
In this paper, we propose a novel four-stage distributed controller for a DC microgrid that achieves power sharing and average voltage regulation for the voltages at actuated and unactuated buses. The controller is presented for a DC microgrid comprising multiple distributed generating units (DGUs) with time-varying actuation states; dynamic RLC lines; nonlinear constant impedance, current and power (ZIP) loads and a time-varying network topology. The controller comprising a nonlinear gain, PI controllers, and two dynamic distributed averaging stages is designed for asymptotic stability. This …
A Control Architecture for Fast Frequency Regulation with Increasing Penetration of Inverter Based Resources (Extended Version)
Massachusetts Institute of Technology(麻省理工学院);King Fahd University of Petroleum & Minerals(法赫德国王石油与矿产大学);King Abdulaziz City for Science and Technology(阿卜杜勒阿齐兹国王科学与技术城)
The growing penetration of distributed energy resources (DERs) has increased the complexity of the power system due to their intermittent characteristics and lower inertial response, such as photovoltaic (PV) systems and wind turbines. This restructuring of the power system has a considerable effect on the transient response of the system resulting in inter-area oscillations, less synchronized coupling and power swings. Furthermore, the concept of being distributed itself and generating electricity from multiple locations in the power system makes the transient impact of DERs even worse by rai…