A transactive energy management system for future community needs

Transactive energy (TE) is emerging as one of the most innovative approaches for the transformation of existing electricity grids towards the future smart grid as the penetration level of distributed generation (DG) is increasing in power systems. TE based local energy trading (LET) is one of the...

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Main Author: Paudel, Amrit
Other Authors: Gooi Hoay Beng
Format: Thesis-Doctor of Philosophy
Language:English
Published: Nanyang Technological University 2020
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Online Access:https://hdl.handle.net/10356/143463
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spelling sg-ntu-dr.10356-1434632023-07-04T17:17:05Z A transactive energy management system for future community needs Paudel, Amrit Gooi Hoay Beng School of Electrical and Electronic Engineering EHBGOOI@ntu.edu.sg Engineering::Electrical and electronic engineering::Electric power Transactive energy (TE) is emerging as one of the most innovative approaches for the transformation of existing electricity grids towards the future smart grid as the penetration level of distributed generation (DG) is increasing in power systems. TE based local energy trading (LET) is one of the novel concepts in the area of distribution networks. Peer-to-peer (P2P) energy trading is a kind of LET, and it is one of the promising approaches for implementing decentralized electricity market paradigms. A proper business model is required to manage LET. The pricing mechanism is crucial because the agreed energy price determines the benefits of LET. Since the physical network or grid is used for energy transfer, power losses are inevitable, and grid-related costs always occur during energy transactions. These grid-related aspects should be considered while designing a business model for LET. A proper market clearing mechanism is necessary to facilitate energy transactions among different parties. Designing a proper market clearing mechanism with a specific objective considering the privacy of agents and different aspects of physical networks is a challenging task.This thesis presents the study of different types of TE based energy trading and management schemes for future smart grids. The focus of the thesis is to develop market clearing algorithms for TE based LET and P2P energy trading. The contributions in this thesis are broadly divided into three parts. The first part proposes a novel game-theoretic approach for P2P energy trading among the prosumers in a community microgrid. The objective of trading is to maximize individual welfare.The proposed approach models the price competition among the sellers as a noncooperative game. The evolutionary game theory is used to model the dynamics of the buyers for selecting sellers. The proposed approach is applied to a small community microgrid with photovoltaic (PV) and energy storage systems. Simulation results show that P2P energy trading provides significant financial and technical benefits to the community, and it is emerging as an alternative to cost-intensive energy storage systems. The second part proposes a decentralized algorithm for LET in microgrids with an integrated pricing mechanism considering welfare maximization and network voltage management through local information exchange among neighbors. The proposed algorithm ensures that the energy transactions do not violate voltage constraints in a physical network, and agents’ privacy is preserved. A two-stage approach is proposed to achieve fast convergence and increase the practicability of the algorithm. The efficacy of the proposed approach is demonstrated using illustrative case studies. The final part presents a decentralized market-clearing mechanism for the P2P energy trading considering the privacy of the agents, power losses as well as the utilization fees for using the third party owned network. Grid-related costs in the P2P energy trading are considered by calculating network utilization fees using an electrical distance approach. The effectiveness of the proposed decentralized approach for market clearing in the P2P energy trading is demonstrated using illustrative scenarios. Doctor of Philosophy 2020-09-03T02:35:07Z 2020-09-03T02:35:07Z 2020 Thesis-Doctor of Philosophy Paudel, A. (2020). A transactive energy management system for future community needs. Doctoral thesis, Nanyang Technological University, Singapore. https://hdl.handle.net/10356/143463 10.32657/10356/143463 en This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License (CC BY-NC 4.0). application/pdf Nanyang Technological University
institution Nanyang Technological University
building NTU Library
continent Asia
country Singapore
Singapore
content_provider NTU Library
collection DR-NTU
language English
topic Engineering::Electrical and electronic engineering::Electric power
spellingShingle Engineering::Electrical and electronic engineering::Electric power
Paudel, Amrit
A transactive energy management system for future community needs
description Transactive energy (TE) is emerging as one of the most innovative approaches for the transformation of existing electricity grids towards the future smart grid as the penetration level of distributed generation (DG) is increasing in power systems. TE based local energy trading (LET) is one of the novel concepts in the area of distribution networks. Peer-to-peer (P2P) energy trading is a kind of LET, and it is one of the promising approaches for implementing decentralized electricity market paradigms. A proper business model is required to manage LET. The pricing mechanism is crucial because the agreed energy price determines the benefits of LET. Since the physical network or grid is used for energy transfer, power losses are inevitable, and grid-related costs always occur during energy transactions. These grid-related aspects should be considered while designing a business model for LET. A proper market clearing mechanism is necessary to facilitate energy transactions among different parties. Designing a proper market clearing mechanism with a specific objective considering the privacy of agents and different aspects of physical networks is a challenging task.This thesis presents the study of different types of TE based energy trading and management schemes for future smart grids. The focus of the thesis is to develop market clearing algorithms for TE based LET and P2P energy trading. The contributions in this thesis are broadly divided into three parts. The first part proposes a novel game-theoretic approach for P2P energy trading among the prosumers in a community microgrid. The objective of trading is to maximize individual welfare.The proposed approach models the price competition among the sellers as a noncooperative game. The evolutionary game theory is used to model the dynamics of the buyers for selecting sellers. The proposed approach is applied to a small community microgrid with photovoltaic (PV) and energy storage systems. Simulation results show that P2P energy trading provides significant financial and technical benefits to the community, and it is emerging as an alternative to cost-intensive energy storage systems. The second part proposes a decentralized algorithm for LET in microgrids with an integrated pricing mechanism considering welfare maximization and network voltage management through local information exchange among neighbors. The proposed algorithm ensures that the energy transactions do not violate voltage constraints in a physical network, and agents’ privacy is preserved. A two-stage approach is proposed to achieve fast convergence and increase the practicability of the algorithm. The efficacy of the proposed approach is demonstrated using illustrative case studies. The final part presents a decentralized market-clearing mechanism for the P2P energy trading considering the privacy of the agents, power losses as well as the utilization fees for using the third party owned network. Grid-related costs in the P2P energy trading are considered by calculating network utilization fees using an electrical distance approach. The effectiveness of the proposed decentralized approach for market clearing in the P2P energy trading is demonstrated using illustrative scenarios.
author2 Gooi Hoay Beng
author_facet Gooi Hoay Beng
Paudel, Amrit
format Thesis-Doctor of Philosophy
author Paudel, Amrit
author_sort Paudel, Amrit
title A transactive energy management system for future community needs
title_short A transactive energy management system for future community needs
title_full A transactive energy management system for future community needs
title_fullStr A transactive energy management system for future community needs
title_full_unstemmed A transactive energy management system for future community needs
title_sort transactive energy management system for future community needs
publisher Nanyang Technological University
publishDate 2020
url https://hdl.handle.net/10356/143463
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