Abstract

The integration of renewables is fast-growing, in light of smart grid technology development. As a result, the uncertain nature of renewables and load demand poses significant technical challenges to distribution network (DN) daily operation. To alleviate such issues, price-sensitive demand response and distributed generators can be coordinated to accommodate the renewable energy. However, the investment cost for demand response facilities, i.e., load control switch and advanced metering infrastructure, cannot be ignored, especially when the responsive demand is large. In this paper, an optimal coordinated investment for distributed generator and demand response facilities is proposed, based on a linearized, price-elastic demand response model. To hedge against the uncertainties of renewables and load demand, a two-stage robust investment scheme is proposed, where the investment decisions are optimized in the first stage, and the demand response participation with the coordination of distributed generators is adjusted in the second stage. Simulations on the modified IEEE 33-node and 123-node DN demonstrate the effectiveness of the proposed model.

Highlights

  • The penetration of renewables increases constantly in the modern distribution network (DN), due to their worldwide availability and sustainability [1,2,3]

  • We propose a two-stage, robust optimization-based model for coordinated investment of distributed generator (DG) and demand response facilities (DRFs), aiming at accommodating the uncertainties of renewables and load demand

  • Demand response (DR) investment holds a small proportion of the co-planning cost, a slight increase of total investment cost can help the system to hedge against variation of renewable energy sources, which reveals the economic benefit of the DR program investment

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Summary

Introduction

The penetration of renewables increases constantly in the modern distribution network (DN), due to their worldwide availability and sustainability [1,2,3]. To enable and support this feature, the demand should be installed with specific equipment, such as a load control switch (LCS), and the conventional meters should be upgraded to advanced metering infrastructure (AMI) With these demand response facilities (DRFs) installed at the demand side can customer energy usage be measured and remotely controlled, as well responding to real-time system operation requests [16,17,18]. In this paper, an optimization model for coordinated investment of DG and DRF, considering both demand and renewable uncertainty, is proposed, to address aforementioned operational issues. We propose a two-stage, robust optimization-based model for coordinated investment of DG and DRF, aiming at accommodating the uncertainties of renewables and load demand.

Demand
Objective
Constraint
Uncertainty Set
Compact Formulation and Duality
Algorithm
First-Stage Co-Investment Scheme in a Different Uncertainty Set
Second-Stage Operation Result
Voltage Profile with Different Demand Response Ability
Statistical
Modified IEEE 123-Node Distribution Network
Findings
Conclusions
Full Text
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