Optimizing residential heating and energy storage flexibility for frequency reserves

Abstract

The increase in intermittent renewable generation motivates participation of also the electricity consumers in maintaining the production–consumption balance of the electrical grid. This paper proposes a distributed price-based optimization scheme for involving a population of consumers in day-ahead procurement of electricity and frequency containment reserves. Energy storage charging and heating of residential houses are planned before the operating day, while taking into account uncertainties in the day-ahead electricity and reserves markets, weather conditions, and realized frequency. The proposed approach is formulated as stochastic quadratic programming problems and coordinated using a parallelized formulation of the alternating direction method of multipliers (ADMM). Chance constraints for the storage state of charge variations under uncertain reserve activation are formulated as second-order cone constraints. The numerical results illustrate the potential benefits of including consumers in the optimization of reserves.