Optimal flexibility dispatch of demand side resources with high penetration of renewables: a Stackelberg game method

Abstract

To promote the utilization of renewable energy, such as photovoltaics, this paper proposes an optimal flexibility dispatch method for demand-side resources (DSR) based on the Stackelberg game theory. First, the concept of the generalized DSR is analyzed and flexibility models for various DSR are constructed. Second, owing to the characteristics of small capacity but large-scale, an outer approximation is proposed to describe the aggregate flexibility of DSR. Then, the optimal flexibility dispatch model of DSR based on the Stackelberg game is established and a decentralized solution algorithm is designed to obtain the Stackelberg equilibrium. Finally, the actual data are utilized for the case study and the results show that, compared to the traditional centralized optimization method, the proposed optimal flexibility dispatch method can not only reduce the net load variability of the DSR aggregator but is beneficial for all DSR owners, which is more suitable for practical applications.