Tradeoffs in cost competitiveness and emission reduction within microgrid sustainable development considering price-based demand response

Abstract

Microgrids (MGs) connected with multiple distributed renewable generations, energy storage equipment, and stochastic loads have recently attracted significant attention. However, uncertainties in renewable energy availabilities and demand side widely exist in the MG energy system. A top-down decision strategy should be developed with respect to the conflicts among different stakeholders. This study presents a layered modeling framework for the synergic optimization of the MG system with considering price-based demand response program. This layered framework can not only involve multiple renewable technologies for ensuring sustainable development but also capture the noncooperative relationship among different stakeholders. The leader enjoys a decision-making priority to optimize the environmental performance of the MG energy system. The follower takes corresponding actions to optimize economic goals. The effectiveness of the developed model is then illustrated through a real-world MG system in Lize Financial Business District, Beijing, China. Results can facilitate the following: (a) identification of the effects of load shifting and charging-discharging characteristics on the MG operation； (b) development of sustainable electricity generation in environmentally and economically sustainable ways. The layered model proves its effectiveness in developing collaborative schemes for comprehensively achieving the cost-emission goals compared with the traditional single-objective models.