Abstract
The incorporation of renewable energy into power systems poses serious challenges to the transmission and distribution power system operators (TSOs and DSOs). To fully leverage these resources there is a need for a new market design with improved coordination between TSOs and DSOs. In this paper we propose two coordination schemes between TSOs and DSOs: one centralised and another decentralised that facilitate the integration of distributed based generation; minimise operational cost; relieve congestion; and promote a sustainable system. In order to achieve this, we approximate the power equations with linearised equations so that the resulting optimal power flows (OPFs) in both the TSO and DSO become convex optimisation problems. In the resulting decentralised scheme, the TSO and DSO collaborate to optimally allocate all resources in the system. In particular, we propose an iterative bi-level optimisation technique where the upper level is the TSO that solves its own OPF and determines the locational marginal prices at substations. We demonstrate numerically that the algorithm converges to a near optimal solution. We study the interaction of TSOs and DSOs and the existence of any conflicting objectives with the centralised scheme. More specifically, we approximate the Pareto front of the multi-objective optimal power flow problem where the entire system, i.e., transmission and distribution systems, is modelled. The proposed ideas are illustrated through a five bus transmission system connected with distribution systems, represented by the IEEE 33 and 69 bus feeders.
Highlights
In recent years, power systems have undergone critical changes as a result of the penetration of renewable energy
We have presented a novel TSO-DSO coordination framework that increases the efficient use of distributed generation resources
The underlying network for both systems is approximated linearly and the optimal power flows (OPFs) formulations result in convex optimisation problems
Summary
Power systems have undergone critical changes as a result of the penetration of renewable energy. The incorporation of renewable energy into power systems poses serious challenges to transmission and distribution system operators (TSOs and DSOs). The main objective is to be able to use renewable energy sources (RESs) whereas guaranteeing efficient congestion management, reduction in operational costs, and increased flexibility while using local energy resources [2,3,4]. Working in this direction, governments have introduced incentives through policies that support the integration of RESs and encourage the collaboration and coordination of operators to maintain reliable and cost-efficient power systems [5,6]. In [8], the authors addressed issues about the intermittent nature of non-dispatchable resources which requires the network operators cooperate on new regulations, network designs, and congestion management solutions
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