Abstract

The concept of a virtual energy storage system (VESS) is based on the sharing of a large energy storage system by multiple units; however, the capacity allocation for each unit limits the operation performance of the VESS. This study proposes an operation strategy of a dynamic VESS for smart energy communities. The proposed VESS operation strategy considers the usage-limited constraint rather than the capacity allocation constraint and it guarantees the usage of VESS resources of each participant for an operation period. Therefore, the degrees of freedom for VESS operation can be increased at each operation time. The dynamic VESS operation problem is formulated as a mixed-integer linear problem that could be solved optimally by applying gradient methods and dual decomposition. The dataset of a VESS in Korea is used for simulation. The simulation results demonstrate that, when the proposed operation strategy is used, the cost efficiency achieved is more than twice that achieved when the existing VESS operation strategy is used. Furthermore, the proposed strategy accurately reflects the characteristics of the participants; thus, more units can participate in the VESS operation service. The proposed VESS operation can improve the system performance of the utility grid and increase the net benefit of the participants.

Highlights

  • As the distributed power generation is growing, owing to the advent of renewable energy generation, power system operation is becoming challenging because the frequency variation and duration of disruptions that indicate power system reliability are increasing [1]

  • This study proposed a dynamic virtual energy storage system (VESS) operation strategy for the smart energy communities (SECs) to maximize the social welfare of the participants

  • The dynamic VESS operation problem considering the usage-limited constraint for each participant was formulated as a mixed-integer linear problem that can be solved optimally by applying gradient methods and dual decomposition

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Summary

Introduction

As the distributed power generation is growing, owing to the advent of renewable energy generation, power system operation is becoming challenging because the frequency variation and duration of disruptions that indicate power system reliability are increasing [1]. To meet the net zero emissions objective of the International Energy Agency (IEA) by 2050, the share of energy system flexibility from ESS is expected to increase from 0.2% in 2020 to 6% in 2030 [10]. Virtual ESSs (VESSs) have been introduced, and their concept is to allow logical sharing of a physical ESS by multiple participants [12]. A VESS is an energy sharing method that is being considered in energy systems. Another representative energy sharing method is the peer-to-peer (P2P) energy transaction [13], which involves trading excess energy produced between peers to improve benefits. Similar to the cloud data storage services [14], a VESS is a shared pool of energy storage resources that provides storage services to small participants [15].

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