Auction-based single buyer energy trading framework in grid-tied microgrid with distributed energy storage and demand response using a multi-agent approach

Abstract

This paper presents a modified single-buyer energy trading model for a grid-tied microgrid that uses a multi-agent system (MAS) approach in a two-stage market auction for multiple sellers and multiple buyers (MSMB).Additionally, a new linear bidding algorithm (LBA) is made available for use by stakeholders (sellers and buyers) in order to select the quote prices for day-ahead trade. By utilising available distributed generation (DG), distributed storage systems (DSS), and demand response (DR) in the first stage (local) market, if not forwarded to the second stage (global) market, this strategy seeks to reduce peak demand and maximise cost benefits for stakeholders and aggregators. The suggested market framework is simulated using MATLAB and Simulink. The simulation results of a test system, which indicate the differences before and after DR and DSS (DRaDS) are taken into consideration, are used to emphasise the effects of DRaDS on market clearing prices from the proposed two-stage market auction.