Multiagent Simulation of Demand Flexibility Integration in Local Energy Markets

Tiago Pinto,Everthon Sica,Zita Vale,Nathalia Boeno,P Siano

doi:10.1051/e3sconf/202123900010

Abstract

Overcoming the issues associated with the variability of renewable generation has become a constant challenge in power and energy systems. The use of load flexibility is one of the most promising ways to face it. Suitable ways to incorporate flexibility in the electricity market, in addition to the already challenging integration of distributed generation primary sources, are therefore crucial. The integration of prosumers and consumers flexibility in the market is, however, not straightforward, as current wholesale and retail market structures are not prepared to deal with the current and future needs of the system. Several models for local energy markets have been studied and experimented; but there it is still not clear what is the most efficient way to integrate the dynamic participation of demand flexibility in this type of local markets.

Highlights

Local Electricity Markets (LEM) are emerging as one of the most promising ways to deal with the effective integration of distributed renewable energy sources, while endowing the consumer with an active role in the system [1]
This paper proposes four models of energy transaction in local energy markets considering the integration of consumption flexibility
The first important result is that the local market of Vila Real cannot supply its demand only with the generation produced locally, i.e., without application of flexibility or use of the external supplier

Summary

Introduction

Local Electricity Markets (LEM) are emerging as one of the most promising ways to deal with the effective integration of distributed renewable energy sources, while endowing the consumer with an active role in the system [1]. Designing efficient market structures for local energy trading that can deal with the multiple challenges related to the incorporation consumption flexibility, need for real-time trading, and interaction with current wholesale and retail market structures is, a demanding task [2]. This paper proposes four models of energy transaction in local energy markets considering the integration of consumption flexibility. These models are based on combinations of asymmetric and symmetric pool models; directed to the synergy between the negotiation of conventional energy and flexibility. Offers based on bidding curves are considered to incorporate the flexibility from the consumers’ side.

Objectives

Results

Conclusion