Tri-level stochastic transactive energy management and improved profit distribution scheme for multi-vectored networked microgrids: A multi-objective framework

Abstract

To ensure the optimal co-operation of multi-vectored network microgrids (MV-NMG), this paper focuses on cooperation-based transactive energy management. Transactive energy management facilitates microgrids to share their green resources to form a sustainable coalition. To ensure the coalition's stability, the gained profit should be allocated among the participants impartially. Thus, this paper proposes a tri-level energy management framework, including an improved payoff allocation scheme for the MV-NMG system to ensure coalition and microgrids' collective and individual interests, respectively. At the first level, the stochasticity of renewables is quantified. Then, a two-stage, multi-objective problem formulation is developed at the second level to address the coalition's collective objectives. Hence, four MV-MGs are modeled with a demand response and advanced energy storage units. Further, a free, peer-to-peer community market is developed, which ensure zero green energy spillage. Results demonstrate that the proposed scheme allows the coalition to achieve its collective interests by reducing the operating cost by 30.1 % and GHG emissions by 22.1 % while improving the network's self - reliability by 21.3 %. Finally, at the third level, the proposed new payoff allocation mechanism rewards and penalizes the microgrids based on their special attributes and ensures the individual interests of MV-MGs.