Day-Ahead Scheduling of a Local Energy Community: An Alternating Direction Method of Multipliers Approach

Abstract

The paper focuses on the day-ahead operational planning of a grid-connected local energy community (LEC) consisting of an internal low-voltage network and several prosumers including generation units, battery storage systems, and local loads. In order to preserve, as much as possible, the confidentiality of the features of prosumers’ equipment and the production and load forecasts, the problem is addressed by designing a specific distributed procedure based on the alternating direction method of multipliers (ADMM). The distributed procedure calculates the scheduling of the available energy resources to limit the balancing action of the external grid and allocates the internal network losses to the various power transactions. Results obtained for various case studies are compared with those obtained by a centralized optimization approach. The results confirm that, in the considered LEC framework, each of the prosumers achieves a reduction in costs or increases revenues in case it participates to the LEC with respect to the case in which it can only transact with an external energy provider.