Flexible load at the demand-side has been regarded as an effective measure to cope with volatile distributed renewable generations. To unlock the demand-side flexibility, this paper proposes a peer-to-peer energy sharing mechanism that facilitates energy exchange among users while preserving privacy. We prove the existence and partial uniqueness of the energy sharing market equilibrium and provide a centralized optimization to obtain the equilibrium. The centralized optimization is further linearized by a convex combination approach, turning into a multi-parametric linear program (MP-LP) with renewable output deviations being the parameters. The flexibility requirement of individual users is calculated based on this MP-LP. To be specific, an adaptive vertex generation algorithm is established to construct a piecewise linear estimator of the optimal total cost subject to a given error tolerance. Critical regions and optimal strategies are retrieved from the obtained approximate cost function to evaluate the flexibility requirement. The proposed algorithm does not rely on the exact characterization of optimal basis invariant sets and thus is not influenced by model degeneracy, a common difficulty faced by existing approaches. Case studies validate the theoretical results and show that the proposed method is scalable.
The ambitious targets for renewable energy penetration warrant huge flexibility in the power system. Such flexibility does not come free. In this paper, we examine the possibility of utilizing storage systems for achieving high renewable energy penetration, and identify the trade-off between providing flexibility and arbitrage against real-time prices. More precisely, we investigate the relationship among the operation cost, storage capacity, and the renewable penetration level. This illustrates the value of storage as well as the true cost induced by the high renewable penetration targets.
The increasing penetration of renewable generation requires new tools to achieve a high matching between demand and renewable generation at building and community levels. Large commercial and public buildings with parking lots have a considerable potential to provide energy flexibility by controlling the charging of Electric Vehicles (EVs) and injecting part of the stored energy into the building, using Building-to-Vehicle (B2V) and Vehicle-to-Building (V2B) systems. However, EVs and buildings do not often belong to the same entity and in Portugal the existing regulation does not allow financi…
Insufficient flexibility in system operation caused by traditional "heat-set" operating modes of combined heat and power (CHP) units in winter heating periods is a key issue that limits renewable energy consumption. In order to reduce the curtailment of renewable energy resources through improving the operational flexibility, a novel optimal scheduling model based on chance-constrained programming (CCP), aiming at minimizing the lowest generation cost, is proposed for a small-scale integrated energy system (IES) with CHP units, thermal power units, renewable generations and representative auxi…
Recent trends express the impact of prosumers and small energy resources and storages in distribution systems, due to the increasing uptake of renewable resources. This research studies the effect of coordination of distributed resources with the utility grid and the role of prosumers in the operation of renewable microgrids. We formulated this problem as a social welfare maximization problem followed by employing the dual decomposition method to decompose it into sub-problems of the microgrid, distributed generators, prosumers, and consumers. Moreover, the corresponding power balance mechanis…
Though considerable effort has been devoted to exploiting generation-side and demand-side operational flexibility in order to cope with uncertain renewable generations, grid-side operational flexibility has not been fully investigated. In this review, we define grid-side flexibility as the ability of a power network to deploy its flexibility resources to cope with the changes of power system state, particularly due to variation of renewable generation. Starting with a survey on the metrics of operational flexibility, we explain the definition from both physical and mathematical point of views.…
Renewable energy sources such as wind and solar have received much attention in recent years and large amount of renewable generation is being integrated to the electricity networks. A fundamental challenge in power system operation is to handle the intermittent nature of the renewable generation. In this paper we present a stochastic programming approach to solve a multiperiod optimal power flow problem under renewable generation uncertainty. The proposed approach consists of two stages. In the first stage operating points for conventional power plants are determined. Second stage realizes th…
Reconfiguring flexibility in renewable power-to-ammonia systems using molten-salt thermal energy storage in the ammonia synthesis loop: A coordinated electro-hydrogen-thermal scheduling approach
College of Electrical Engineering, Sichuan University(四川大学电气工程学院);School of Chemical Engineering, Sichuan University(四川大学化学工程学院);School of Advanced Engineering, Great Bay University(大湾区大学先进工程学院)
Transmission topology control is a tool used by system operators in the role of a control action taken into account as a preventive or corrective action relative to a specific outage or set of outages. However, their inclusion in most electricity market frameworks is limited. With the increasing penetration of intermittent energy sources, optimal topology can be used as a lever of flexibility to decrease the total system cost. This paper demonstrates the evolution of optimal topology control on systems with increasing quantities of intermittent renewable energy along two axes. First, the effec…
Energy storage technologies are key to improving grid flexibility in the presence of increasing amounts of intermittent renewable generation. We propose an insurance contract that suitably compensates energy storage systems for providing flexibility. Such a contract provides a wider range of market opportunities for these systems while also incentivizing higher renewable penetration in the grid. We consider a day-ahead market in which generators, including renewables and storage owners, bid to be scheduled for the next operating day. Due to production uncertainty, renewable generators may be u…
This paper presents models for renewable energy systems with storage, and considers its optimal operation. We model and simulate wind and solar power production using stochastic differential equations as well as storage of the produced power using batteries, thermal storage, and water electrolysis. We formulate an economic optimal control problem, with the scope of controlling the system in the most efficient way, while satisfying the power demand from the electric grid. Deploying multiple storage systems allows flexibility and higher reliability of the renewable energy system.
Efforts to utilize 100% renewable energy in community microgrids require new approaches to energy markets and transactions to efficiently address periods of scarce energy supply. In this paper we contribute to the promising approach of peer-to-peer (P2P) energy trading in two main ways: analysis of a centralized, welfare-maximizing economic dispatch that characterizes optimal price and allocations, and a novel P2P system for negotiating energy trades that yields physically feasible and at least weakly Pareto-optimal outcomes. Our main results are 1) that optimal pricing is insufficient to indu…
With an increasing share of volatile renewables, more flexibility is needed to balance the electricity system. In order to enable local flexibility, we suggest a three-stage stochastic market clearing model using community-based peer-to-peer (P2P) trading with participation in the short term reserve markets. With this approach, internal intraday (IID) and real-time (IRT) markets are cleared where peers can trade to balance their day-ahead market position under uncertainty in load and activation of reserves. Results show increased participation of 19 and 44 % in reserve markets when P2P IID and…
It is anticipated that large-scale energy storage facility (ESF) will become an essential part of the future energy markets to increase the penetration of renewables. In this paper, a new optimization algorithm is developed to participate in large-scale merchant ESF to deal with renewables fluctuations. The ESF is an investor-owned and independently-operated, seeking to maximize its total profit while hedging the system against net-load variation. To do so, an exact computationally efficient bi-level mixed-integer linear programming (MILP) is envisaged. The ESF operator tries to maximize its o…
Widespread utilization of renewable energy sources (RESs) in subtransmission systems causes serious problems on power quality, such as voltage violations, leading to significant curtailment of renewables. This is due to the inherent variability of renewables and the high R/X ratio of the subtransmission system. To achieve full utilization of renewables, battery energy storage systems (BESSs) are commonly used to mitigate the negative effects of massive fluctuations of RESs. Power flow router (PFR), which can be regarded as a general type of network-side controller, has also been verified to en…
Peer-to-peer (P2P) energy systems have recently emerged as a promising approach for integrating renewable and distributed energy resources into energy grids to reduce carbon emissions. However, market-clearing energy price and amounts, resulted from solving optimal P2P energy management problems, might not be satisfactory for peers/agents. This is because peers/agents in practice do not know how to set their cost function parameters when participating into P2P energy markets. To resolve such drawback, this paper proposes a novel approach, in which an inverse optimization problem is formulated …
High integration of intermittent renewable energy sources (RES), in particular wind power, has created complexities in power system operations. On the other hand, large fleets of Electric Vehicles (EVs) are expected to have great impact on electricity consumption, and uncoordinated charging process will add load uncertainty and further complicate the grid scheduling. In this paper, we propose a smart charging approach that uses the flexibility of EV owners to absorb the fluctuations in the output of RES in a vehicle-to-grid (V2G) setup. We propose an optimal scheduling algorithm for charge/dis…
To address the challenge of the renewable energy uncertainty, the ISO New England (ISO-NE) has proposed to apply do-not-exceed (DNE) limits, which represent the maximum nodal injection of renewable energy the grid can accommodate. Unfortunately, it appears challenging to compute DNE limits that simultaneously maintain the system flexibility and incorporate a large portion of the available renewable energy at the minimum cost. In addition, it is often challenging to accurately estimate the joint probability distribution of the renewable energy. In this paper, we propose a two-stage distribution…
In this paper, an approach to evaluate the benefits of demand flexibility for Virtual Power Plants (VPPs) is presented. The flexible demands chosen in this study are part of a renewable energy source-based VPP that participates in Day-Ahead Market (DAM) and Intra-Day Market (IDM) and has dispatchable and non-dispatchable assets. A demand model with bi-level flexibility is proposed: the first level is associated with DAM, whereas the second level is related to IDM sessions. Simulations are carried out considering a 12-node network to ascertain the eventual impacts of modeling demand flexibility…
As the installation of electronically interconnected renewable energy resources grows rapidly in power systems, system frequency maintenance and control become challenging problems to maintain the system reliability in bulk power systems. As two of the most important frequency control actions in the control centers of independent system operators (ISOs) and utilities, the interaction between Economic Dispatch (ED) and Automatic Generation Control (AGC) attracts more and more attention. In this paper, we propose a robust optimization based framework to measure the system flexibility by consider…
We consider a network of prosumers involved in peer-to-peer energy exchanges, with differentiation price preferences on the trades with their neighbors, and we analyze two market designs: (i) a centralized market, used as a benchmark, where a global market operator optimizes the flows (trades) between the nodes, local demand and flexibility activation to maximize the system overall social welfare; (ii) a distributed peer-to-peer market design where prosumers in local energy communities optimize selfishly their trades, demand, and flexibility activation. We first characterizethe solution of the…
The operational flexibility of industrial power-to-hydrogen (P2H) plants enables admittance of volatile renewable power and provides auxiliary regulatory services for the power grid. Aiming to extend the flexibility of the P2H plant further, this work presents a scheduling method by considering detailed process constraints of the alkaline electrolyzers. Unlike existing works that assume constant load range, the presented scheduling framework fully exploits the dynamic processes of the electrolyzer, including temperature and hydrogen-to-oxygen (HTO) crossover, to improve operational flexibility…
In countries with an extended use of district heating (DH), the integrated operation of DH and power systems can increase the flexibility of the power system achieving a higher integration of renewable energy sources (RES). DH operators can not only provide flexibility to the power system by acting on the electricity market, but also profit from the situation to lower the overall system cost. However, the operational planning and bidding includes several uncertain components at the time of planning: electricity prices as well as heat and power production from RES. In this publication, we propo…
Deploying distributed renewable energy at the demand side is an important measure to implement a sustainable society. However, the massive small solar and wind generation units are beyond the control of a central operator. To encourage users to participate in energy management and reduce the dependence on dispatchable resources, a peer-to-peer energy sharing scheme is proposed which releases the flexibility at the demand side. Every user makes decision individually considering only local constraints; the microgrid operator announces the sharing prices subjective to the coupling constraints wit…
The deepening penetration of renewables in power systems has contributed to the increasing needs for generation scheduling flexibility. Specifically, for short-term operations, flexibility here indicates that sufficient ramp capacities should be reserved to respond to the expected changes in the load and intermittent generation, also covering a certain amount of their uncertainty. To address the growing requirements for flexible ramp capacity, markets for ramp products have been launched in practice such as the ones in California ISO and Midcontinent ISO. Some-times, to guarantee sufficient ra…
Recently, the volatility associated with marginal prices has increased due to large scale integration of renewable generation. Price volatility is undesirable from a consumer perspective. To address this issue, we present a framework for hedging that uses duality theory for quantifying the amount of demand-side flexibility required for constraining marginal prices to the consumers maximum willingness to pay for electricity. Using our formulation, we investigate the ability of an Energy Storage System (ESS), as a demand-side flexibility source, to hedge against electricity price volatility acro…
The increasing penetration of Renewable Energy Sources (RES) requires more Flexibility Resources (FR), generally thermal units and storages, must be kept in the system to accommodate the uncertainties from RES. The challenge is how the system can survive when the RES level is very high. In this paper, RESs are considered as full-role market participants. They can bid in the day-ahead market, and the powers they deliver to the market are controllable up to their maximum available powers. Therefore, RESs are effectively dispatchable and can function as FR providers. To integrate dispatchable ren…
Operational flexibility is an important property of electric power systems and plays a crucial role for the transition of today's power systems, many of them based on fossil fuels, towards power systems that can efficiently accommodate high shares of variable Renewable Energy Sources (RES). The availability of sufficient operational flexibility in a given power system is a necessary prerequisite for the effective grid integration of large shares of fluctuating power in-feed from variable RES, especially wind power and Photovoltaics (PV). This paper establishes the necessary framework for quant…
Renewable energy sources (RES) has gained a lot of interest recently. The limited transmission capacity serving RES often leads to network congestion since they are located in remote favorable locations. As a result, when poorly scheduled, the intermittent nature of RES may result in high curtailments of the free resource. Currently, grid operators utilize a static network when performing day-ahead scheduling and ignore transmission flexibility. This paper explores the possibility of utilizing network reconfiguration as a corrective action to reduce the transmission congestion and thereby the …
Locational Marginal Price (LMP) is a dual variable associated with supply-demand matching and represents the cost of delivering power to a particular location if the load at that location increases. In recent times it become more volatile due to increased integration of renewables that are intermittent. The issue of price volatility is further heightened during periods of grid congestion. Motivated by these problems, we propose a market design where, by constraining dual variables, we determine the amount of demand-side flexibility required to limit the rise of LMP. Through our proposed approa…
The disturbances from variable and uncertain renewable generation propagate from power systems to natural gas networks, causing gas network operators to adjust gas supply nominations to ensure operational security. To alleviate expensive supply adjustments, we develop control policies to leverage instead the flexibility of linepack -- the gas stored in pipelines -- to balance stochastic gas extractions. These policies are based on multi-stage linear decision rules optimized on a finite discrete horizon to guide controllable network components, such as compressors and valves, towards feasible o…
This paper presents a static generation expansion planning formulation in which operational and investment decisions for a wide range of technologies are co-optimized from a centralized perspective. The location, type and quantity of new generation and storage capacities are provided such that system demand and flexibility requirements are satisfied. Depending on investments in new intermittent renewables (wind, PV), the flexibility requirements are adapted in order to fully capture RES integration costs and ensure normal system operating conditions. To position candidate units, we incorporate…