Stochastic expansion planning of gas and electricity networks: A decentralized-based approach

Abstract

This paper introduces a stochastic decentralized model for coordinating expansion of gas and electricity networks to tackle the interdependency between electricity and gas infrastructures and deal with different challenges incorporated in such co-expansion problem. Different uncertainties including wind power output, interest rate and load growth are considered to have a holistic stochastic approach. Regulatory policy for restricting capacity additions in terms of new renewable installations as well as demand response program are also incorporated in this study to examine the effect of regulatory frameworks and end-users on expansion planning of gas and electricity networks. Moreover, the effect of land area limitations is investigated in expansion plans as a practical consideration. Alternating direction method of multipliers is used as a solution methodology to coordinate expansion of gas and electricity networks with a minimum data exchange. To evaluate the efficiency of the proposed method, results are examined on a realistic case study in Khorasan province of Iran representing high penetration level of gas consuming power plants.