VPP´s multi-level negotiation in smart grids and competitive electricity markets

The increase of distributed generation (DG) has brought about new challenges in electrical networks electricity markets and in DG units operation and management. Several approaches are being developed to manage the emerging potential of DG, such as Virtual Power Players (VPPs), which aggregate DG plants; and Smart Grids, an approach that views generation and associated loads as a subsystem. This paper presents a multi-level negotiation mechanism for Smart Grids optimal operation and negotiation in the electricity markets, considering the advantages of VPPs’ management. The proposed methodology is implemented and tested in MASCEM – a multiagent electricity market simulator, developed to allow deep studies of the interactions between the players that take part in the electricity market negotiations.

LMP based bid formation for virtual power players operating in smart grids

Power system organization has gone through huge changes in the recent years. Significant increase in distributed generation (DG) and operation in the scope of liberalized markets are two relevant driving forces for these changes. More recently, the smart grid (SG) concept gained increased importance, and is being seen as a paradigm able to support power system requirements for the future. This paper proposes a computational architecture to support day-ahead Virtual Power Player (VPP) bid formation in the smart grid context. This architecture includes a forecasting module, a resource optimization and Locational Marginal Price (LMP) computation module, and a bid formation module. Due to the involved problems characteristics, the implementation of this architecture requires the use of Artificial Intelligence (AI) techniques. Artificial Neural Networks (ANN) are used for resource and load forecasting and Evolutionary Particle Swarm Optimization (EPSO) is used for energy resource scheduling. The paper presents a case study that considers a 33 bus distribution network that includes 67 distributed generators, 32 loads and 9 storage units.

ANN based support for distributed energy resources scheduling in smart grids

The future scenarios for operation of smart grids are likely to include a large diversity of players, of different types and sizes. With control and decision making being decentralized over the network, intelligence should also be decentralized so that every player is able to play in the market environment. In the new context, aggregator players, enabling medium, small, and even micro size players to act in a competitive environment, will be very relevant. Virtual Power Players (VPP) and single players must optimize their energy resource management in order to accomplish their goals. This is relatively easy to larger players, with financial means to have access to adequate decision support tools, to support decision making concerning their optimal resource schedule. However, the smaller players have difficulties in accessing this kind of tools. So, it is required that these smaller players can be offered alternative methods to support their decisions. This paper presents a methodology, based on Artificial Neural Networks (ANN), intended to support smaller players’ resource scheduling. The used methodology uses a training set that is built using the energy resource scheduling solutions obtained with a reference optimization methodology, a mixed-integer non-linear programming (MINLP) in this case. The trained network is able to achieve good schedule results requiring modest computational means.

Intelligent energy resources management in the context of smart grids

Smart grids are envisaged as infrastructures able to accommodate all centralized and distributed energy resources (DER), including intensive use of renewable and distributed generation (DG), storage, demand response (DR), and also electric vehicles (EV), from which plug-in vehicles, i.e. gridable vehicles, are especially relevant. Moreover, smart grids must accommodate a large number of diverse types or players in the context of a competitive business environment. Smart grids should also provide the required means to efficiently manage all these resources what is especially important in order to make the better possible use of renewable based power generation, namely to minimize wind curtailment. An integrated approach, considering all the available energy resources, including demand response and storage, is crucial to attain these goals. This paper proposes a methodology for energy resource management that considers several Virtual Power Players (VPPs) managing a network with high penetration of distributed generation, demand response, storage units and network reconfiguration. The resources are controlled through a flexible SCADA (Supervisory Control And Data Acquisition) system that can be accessed by the evolved entities (VPPs) under contracted use conditions. A case study evidences the advantages of the proposed methodology to support a Virtual Power Player (VPP) managing the energy resources that it can access in an incident situation.

Multilevel negotiation in smart grids for VPP management of distributed resources

A multilevel negotiation mechanism for operating smart grids and negotiating in electricity markets considers the advantages of virtual power player management.

Technical and economic resources management in smart grids using heuristic optimization methods

Intensive use of Distributed Generation (DG) represents a change in the paradigm of power systems operation making small-scale energy generation and storage decision making relevant for the whole system. This paradigm led to the concept of smart grid for which an efficient management, both in technical and economic terms, should be assured. This paper presents a new approach to solve the economic dispatch in smart grids. The proposed methodology for resource management involves two stages. The first one considers fuzzy set theory to define the natural resources range forecast as well as the load forecast. The second stage uses heuristic optimization to determine the economic dispatch considering the generation forecast, storage management and demand response

Distributed energy resources management with cyber-physical SCADA in the context of future smart grids

In the energy management of a small power system, the scheduling of the generation units is a crucial problem for which adequate methodologies can maximize the performance of the energy supply. This paper proposes an innovative methodology for distributed energy resources management. The optimal operation of distributed generation, demand response and storage resources is formulated as a mixed-integer linear programming model (MILP) and solved by a deterministic optimization technique CPLEX-based implemented in General Algebraic Modeling Systems (GAMS). The paper deals with a vision for the grids of the future, focusing on conceptual and operational aspects of electrical grids characterized by an intensive penetration of DG, in the scope of competitive environments and using artificial intelligence methodologies to attain the envisaged goals. These concepts are implemented in a computational framework which includes both grid and market simulation.

Energy resource management in smart grids considering an Intensive use of electric vehicles

The introduction of electricity markets and integration of Distributed Generation (DG) have been influencing the power system’s structure change. Recently, the smart grid concept has been introduced, to guarantee a more efficient operation of the power system using the advantages of this new paradigm. Basically, a smart grid is a structure that integrates different players, considering constant communication between them to improve power system operation and management. One of the players revealing a big importance in this context is the Virtual Power Player (VPP). In the transportation sector the Electric Vehicle (EV) is arising as an alternative to conventional vehicles propel by fossil fuels. The power system can benefit from this massive introduction of EVs, taking advantage on EVs’ ability to connect to the electric network to charge, and on the future expectation of EVs ability to discharge to the network using the Vehicle-to-Grid (V2G) capacity. This thesis proposes alternative strategies to control these two EV modes with the objective of enhancing the management of the power system. Moreover, power system must ensure the trips of EVs that will be connected to the electric network. The EV user specifies a certain amount of energy that will be necessary to charge, in order to ensure the distance to travel. The introduction of EVs in the power system turns the Energy Resource Management (ERM) under a smart grid environment, into a complex problem that can take several minutes or hours to reach the optimal solution. Adequate optimization techniques are required to accommodate this kind of complexity while solving the ERM problem in a reasonable execution time. This thesis presents a tool that solves the ERM considering the intensive use of EVs in the smart grid context. The objective is to obtain the minimum cost of ERM considering: the operation cost of DG, the cost of the energy acquired to external suppliers, the EV users payments and remuneration and penalty costs. This tool is directed to VPPs that manage specific network areas, where a high penetration level of EVs is expected to be connected in these areas. The ERM is solved using two methodologies: the adaptation of a deterministic technique proposed in a previous work, and the adaptation of the Simulated Annealing (SA) technique. With the purpose of improving the SA performance for this case, three heuristics are additionally proposed, taking advantage on the particularities and specificities of an ERM with these characteristics. A set of case studies are presented in this thesis, considering a 32 bus distribution network and up to 3000 EVs. The first case study solves the scheduling without considering EVs, to be used as a reference case for comparisons with the proposed approaches. The second case study evaluates the complexity of the ERM with the integration of EVs. The third case study evaluates the performance of scheduling with different control modes for EVs. These control modes, combined with the proposed SA approach and with the developed heuristics, aim at improving the quality of the ERM, while reducing drastically its execution time. The proposed control modes are: uncoordinated charging, smart charging and V2G capability. The fourth and final case study presents the ERM approach applied to consecutive days.

QoS-enabled middleware for smart grids

Emerging smart grid systems must be able to react quickly and predictably, adapting their operation to changing energy supply and demand, by controlling energy consuming and energy storage devices. An intrinsic problem with smart grids is that energy produced from in-house renewable sources is affected by fluctuating weather factors. The applications driving smart grids operation must rely on a solid communication network that is secure, highly scalable, and always available. Thus, any communication infrastructure for smart grids should support its potential of producing high quantities of real-time data, with the goal of reacting to state changes by actuating on devices in real-time, while providing Quality of Service (QoS).

ENCOURAGE architecture: support for heterogeneous smart grids

Our society relies on energy for most of its activities. One application domain inciding heavily on the energy budget regards the energy consumption in residential and non-residential buildings. The ever increasing needs for energy, resulting from the industrialization of developing countries and from the limited scalability of the traditional technologies for energy production, raises both problems and opportunities. The problems are related to the devastating effects of the greenhouse gases produced by the burning of oil and gas for energy production, and from the dependence of whole countries on companies providing gas and oil. The opportunities are mostly technological, since novel markets are opening for both energy production via renewable sources, and for innovations that can rationalize energy usage. An enticing research effort can be the mixing of these two aspects, by leveraging on ICT technologies to rationalize energy production, acquisition, and consumption. The ENCOURAGE project aims to develop embedded intelligence and integration technologies that will directly optimize energy use in buildings and enable active participation in the future smart grid environment.The primary application domains targeted by the ENCOURAGE project are non-residential buildings (e.g.: campuses) and residential buildings (e.g.: neighborhoods). The goal of the project is to achieve 20% of energy savings through the improved interoperability between various types of energy generation, consumption and storage devices; interbuilding energy exchange; and systematic performance monitoring.

Distributed, Agent-Based Intelligent System for Demand Response Program Simulation in Smart Grids

A distributed, agent-based intelligent system models and simulates a smart grid using physical players and computationally simulated agents. The proposed system can assess the impact of demand response programs.

GAIC: Um sistema inteligente e flexível para simulação e apoio à participação de pequenos e médios consumidores na gestão ativa de cargas no âmbito de smart grids

A liberalização dos mercados de energia e a utilização intensiva de produção distribuída tem vindo a provocar uma alteração no paradigma de operação das redes de distribuição de energia elétrica. A continuidade da fiabilidade das redes de distribuição no contexto destes novos paradigmas requer alterações estruturais e funcionais. O conceito de Smart Grid vem permitir a adaptação das redes de distribuição ao novo contexto. Numa Smart Grid os pequenos e médios consumidores são chamados ao plano ativo das participações. Este processo é conseguido através da aplicação de programas de demand response e da existência de players agregadores. O uso de programas de demand response para alcançar benefícios para a rede encontra-se atualmente a ser estudado no meio científico. Porém, existe a necessidade de estudos que procurem benefícios para os pequenos e médios consumidores. O alcance dos benefícios para os pequenos e médios consumidores não é apenas vantajoso para o consumidor, como também o é para a rede elétrica de distribuição. A participação, dos pequenos e médios consumidores, em programas de demand response acontece significativamente através da redução de consumos energéticos. De modo a evitar os impactos negativos que podem provir dessas reduções, o trabalho aqui proposto faz uso de otimizações que recorrem a técnicas de aprendizagem através da utilização redes neuronais artificiais. Para poder efetuar um melhor enquadramento do trabalho com as Smart Grids, será desenvolvido um sistema multiagente capaz de simular os principais players de uma Smart Grid. O foco deste sistema multiagente será o agente responsável pela simulação do pequeno e médio consumidor. Este agente terá não só que replicar um pequeno e médio consumidor, como terá ainda que possibilitar a integração de cargas reais e virtuais. Como meio de interação com o pequeno e médio consumidor, foi desenvolvida no âmbito desta dissertação um sistema móvel. No final do trabalho obteve-se um sistema multiagente capaz de simular uma Smart Grid e a execução de programas de demand response, sSendo o agente representante do pequeno e médio consumidor capaz de tomar ações e reações de modo a poder responder autonomamente aos programas de demand response lançados na rede. O desenvolvimento do sistema permite: o estudo e análise da integração dos pequenos e médios consumidores nas Smart Grids por meio de programas de demand response; a comparação entre múltiplos algoritmos de otimização; e a integração de métodos de aprendizagem. De modo a demonstrar e viabilizar as capacidades de todo o sistema, a dissertação inclui casos de estudo para as várias vertentes que podem ser exploradas com o sistema desenvolvido.

Using Baseline Methods to Identify Non-technical Losses in the Context of Smart Grids

Demand response has gained increasing importance in the context of competitive electricity markets and smart grid environments. In addition to the importance that has been given to the development of business models for integrating demand response, several methods have been developed to evaluate the consumers’ performance after the participation in a demand response event. The present paper uses those performance evaluation methods, namely customer baseline load calculation methods, to determine the expected consumption in each period of the consumer historic data. In the cases in which there is a certain difference between the actual consumption and the estimated consumption, the consumer is identified as a potential cause of non-technical losses. A case study demonstrates the application of the proposed method to real consumption data.

Dispatch of distributed Energy Resources to Provide Energy and Reserve in Smart Grids using a Particle Swarm Optimization Approach

The smart grid concept is a key issue in the future power systems, namely at the distribution level, with deep concerns in the operation and planning of these systems. Several advantages and benefits for both technical and economic operation of the power system and of the electricity markets are recognized. The increasing integration of demand response and distributed generation resources, all of them mostly with small scale distributed characteristics, leads to the need of aggregating entities such as Virtual Power Players. The operation business models become more complex in the context of smart grid operation. Computational intelligence methods can be used to give a suitable solution for the resources scheduling problem considering the time constraints. This paper proposes a methodology for a joint dispatch of demand response and distributed generation to provide energy and reserve by a virtual power player that operates a distribution network. The optimal schedule minimizes the operation costs and it is obtained using a particle swarm optimization approach, which is compared with a deterministic approach used as reference methodology. The proposed method is applied to a 33-bus distribution network with 32 medium voltage consumers and 66 distributed generation units.

Reactive power management strategies in future smart grids

The reactive power management in distribution network with large penetration of distributed energy resources is an important task in future power systems. The control of reactive power allows the inclusion of more distributed recourses and a more efficient operation of distributed network. Currently, the reactive power is only controlled in large power plants and in high and very high voltage substations. In this paper, several reactive power control strategies considering a smart grids paradigm are proposed. In this context, the management of distributed energy resources and of the distribution network by an aggregator, namely Virtual Power Player (VPP), is proposed and implemented in a MAS simulation tool. The proposed methods have been computationally implemented and tested using a 32-bus distribution network with intensive use of distributed resources, mainly the distributed generation based on renewable resources. Results concerning the evaluation of the reactive power management algorithms are also presented and compared.