Impact of energy storage system and distributed energy resources on bidding strategy of micro-grid in deregulated environment

Abstract

In this paper, a model has been developed for bidding strategy of grid-connected micro-grid (MG) considering both active and reactive power dispatch in deregulated environment. MG provides enhanced reliability with amalgamation of energy storage system (ESS) and renewable energy sources. The improvised bidding strategy prepared by MG operator helps to generate higher profits for MG. But the unpredictable nature of renewable sources possesses many constraints on MG for dispatching power. So, here an endeavor has been made by using improved whale optimization algorithm (IWOA) for maximizing the profit of MG taking the uncertainties with the renewable sources and load into account. These stochastic characteristics of renewable wind and solar sources are modeled by Weibull and Beta distribution functions, respectively and for load, Normal distribution is used. Additionally, it describes the charging and discharging state of storage system. The efficiency of proposed technique for bidding strategy is demonstrated on modified IEEE-33 distribution-network with and without ESS. Its performances are analyzed by comparing the outcomes with other optimized algorithms. The results show that, for proposed technique, the bidding strategy of MG yields high profit and low operating cost. As well as inclusion of ESS also reduces the operating cost of MG by increasing its daily profit.