Hierarchical framework for optimal operation of multiple microgrids considering demand response programs

Abstract

This paper proposes a framework for the optimal operation of multi Micro Grids (multiMGs) based on Hybrid Stochastic/Robust optimization. MultiMGs with various characteristics are considered in this study. They are connected to different buses of their Up-Stream-Network (USN). Day-Ahead (DA) and Real-Time (RT) markets are contemplated. The proposed optimization structure in this paper is a bi-level one since both MGs operators’ and USN operator’s decisions are considered in the proposed model. The advantages of using time-of-use demand response programs on the optimal operation of USN in the presence of multiMGs are investigated. The uncertainty of different components, including wind units, photovoltaic units, plug-in electric vehicles, and DA market price is captured by using stochastic programming. In addition, robust programming is utilized for contemplating the uncertainty of the RT market price. Furthermore, the grid-connected and island modes of MGs’ operation are investigated in this paper, discussing also the virtues of utilizing multiMGs over single MG. Finally, IEEE 18-bus and 30-bus test systems are considered for MGs and USN networks respectively to scrutinize the simulation results.