Privacy-Preserving Distributed Energy Transaction in Active Distribution Networks

Abstract

The increasing number of prosumers with various distributed energy resources promotes energy transactions in active distribution networks for lower cost, more flexibility, lower carbon footprints, and higher reliability. A privacy-preserving distributed energy transaction approach is proposed to minimize the overall objective of renewable energy generation curtailment penalty and operational cost while satisfying power flows and voltage magnitude constraints. The proposed approach encrypts private information by adding a noise term and a secret function to the information exchange process. The convergence, optimality, and privacy of the proposed privacy-preserving distributed approach are rigorously analyzed using a theoretical approach and verified by various case studies on IEEE distribution systems.