Abstract

Virtual Power Plants (VPPs) aggregate large numbers of Decentralized Energy Resources (DERs), such as photovoltaic (PV) generators on rooftops, to economically optimize their generation schedules and thereby maximize DER operators' revenues. However, VPP schedules that are purely optimized according to economic aspects do not take into account the grid constraints of the affected local distribution grids in which the DERs are located. Therefore, VPPs can produce schedules that are actually infeasible in practice since they violate the grid constraints of the local Distribution System Operators (DSOs). As a consequence, DSOs are forced to switch off DERs during schedule execution in order to keep the voltage in their distribution grids within acceptable limits. This forced DSO interference may ultimately cause the VPPs and their DERs to fail at achieving their economic optimization goals. Instead of generating purely economically optimized VPP schedules, we propose to additionally take the grid constraints of the DSOs into account during VPP schedule computation. Thus, the generated coordinated schedules increase both, grid voltage limit compliance and VPP/DER revenue by avoiding critical grid states and the subsequent necessity of the DSOs to interfere with schedule execution by switching off DERs.

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