Abstract
The development of Microgrid states the problem of choosing the optimal technologies for its composition.This paper is to present cost based demand-side management methods for the Microgrids with DistributedGeneration sources to optimize their operation. While implementing variable pricing models the aggregatorshould take into account characteristics of different Distributed Energy Resources (DER) (diesel engines, gasturbines, fuel cells, solar panels, small hydropower plants and wind turbines) and LCOE for each type of DER tostimulate each local electricity market participant separately. The system Microgrid using three diesel generatorsand the option of replacing one generator with a solar electric and wind generator installation was considered.
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