Abstract
In this chapter, a mixed-integer linear programming (MILP) model has been developed for the design and optimization of distributed energy resources (DER) systems. Given the site’s energy loads, local climate data, utility tariff structure, and information (both technical and financial) on candidate DER technologies, the model minimizes overall energy cost for a test year by selecting the units to install and determining their operating schedules. Furthermore, the economic, energetic, and environmental effects of the DER system can be evaluated. As an illustrative example, an investigation has been conducted of economically optimal DER system for an eco-campus in Kitakyushu, Japan. The result illustrates that gas engine is currently the most popular DER technology from the economic viewpoint. In addition, the structure of the DER system is discussed by taking into consideration the heat piping network.
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