Abstract

The need for cleaner and more efficient electrical power generation along with limited funds for the construction of bulk generation and transmission facilities has motivated power system utilities to deploy distributed energy resources (DERs). Onsite generation by DERs offers various economic and environmental benefits for end customers, utilities, and society. These benefits include enhanced reliability and resilience of power delivery systems and deferment of investments for bulk generation, transmission, and distribution expansions. Furthermore, DER integration may lead to lower losses at the transmission-system level and emission reduction of large fossil-fueled power plants [1], [2]. DER integration has modified the conventional, centralized bulk generation concept and introduced new notions, such as the microgrid (μG) [3].

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