Hierarchical Scheduling of Aggregated TCL Flexibility for Transactive Energy in Power Systems
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Engineering↗
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Results for “Transactive Energy Framework”
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Risk aware net load balancing in micro grids with high DER penetration
The rapid transformation of micro grids due to the accelerated integration of renewables, storage systems and IoT enabled monitoring and control has opened up new opportunities as well as challenges. Future micro grids will be characterized by high DER penetration and will require sophisticated net load balancing frameworks which explicitly consider the errors in prediction of load and generation due to uncertainty in weather conditions while making decisions. Traditional techniques for grid net load management which rely on isolated shaping of load and supply curves are inadequate and inefficient. For micro grids with high PV penetration, the intermittent and unpredictable nature of PV based energy generation can lead to dramatic and sudden supply demand imbalances thus requiring a holistic framework for balancing net load over the entire horizon. In this paper, we develop a sequential decision making framework for net load management that optimally balances the usage of storage and energy market transactions as a mechanism for mitigating supply demand imbalances (net load imbalances) over the horizon. Our framework specifically accounts for prediction uncertainty of future net load imbalances and minimizes the tail end risk of storage shortfall at the end of the horizon. Using qualitative analysis, we show that our framework achieves its objective of minimum cost net load balancing while accounting for the tail end risk.
14 SOLAR ENERGY↗
Impact of FERC Order 2222 on DER Participation Rules in US Electricity Markets
Electricity markets in the bulk grid are beginning to implement market mechanisms that support the procurement of flexible capabilities from wide range of technologies, including distributed energy resources (DERs). The flexibility of these resources will help counterbalance supply uncertainties from large-scale integration of variable renewable generation. To encourage development of distributed and aggregated market participants, FERC Order 2222 was issued in September 2020 to require each Independent System Operator (ISO) in the US to implement rules that enable broader participation from aggregations of DERs in the bulk market. The following paper first describes the generic design of ISO markets before introducing the new market participation rules that ISOs have proposed for compliance with Order 2222. The paper then describes how software performance issues may continue to affect the eligibility requirements and offer structures for DER aggregations participating in ISOs, noting that continued research on computational methods may help reduce burdens for DER integration. The prospects for transmission and distribution system coordination is second major issue discussed, which will require minor changes to existing processes in the short term. In the longer term, there is more opportunity for more wide-ranging reforms, such as the development of a Distribution System Operator (DSO) framework. Newly proposed market rules may affect how Transactive Energy Systems (TES) will help facilitate efficient formation of DER aggregations and operation of the individual DERs within an aggregation. Within the TES context, the challenge is to fully understand how resource eligibility and operational and planning coordination methods will affect the design and implementation of TES.
24 POWER TRANSMISSION AND DISTRIBUTION↗
Swarm intelligence–based distributed stochastic model predictive control for transactive operation of networked building clusters
To maximize potential energy and cost savings, networked clusters of local buildings are formed for energy transactions. Both centralized and distributed decision approaches were explored in past decades as a way to enable efficient transactive operations. However, online distributed stochastic transactive operation has been overlooked in the literature. To bridge gaps in the research, a bi-level distributed stochastic model predictive control framework was proposed to study the transactive operations of building clusters where a system-level agent is employed to coordinate multiple building agents at the subsystem level. The energy transaction is optimized by a marginal price-based particle swarm optimizer at the system level. Given the energy transaction decisions, each building can independently solve a scenario-based two-stage stochastic model to optimally dispatch the electricity and ancillary services for optimal energy performance. The effectiveness of the proposed framework and coordination algorithm are demonstrated in deterministic, stochastic, and online operations and compared to centralized decisions using several sets of experiments. Additionally, the proposed approach can realize autonomous transactive operation and be extended to community-level building clusters in a plug-and-play way.
29 ENERGY PLANNING, POLICY, AND ECONOMY↗
Community-Based Transactive Coordination Mechanism for Enabling Grid Edge Systems
The changing landscape of the electricity industry, characterized by a surge in distributed energy resources (DERs) and proactive customers, necessitates practical solutions for coordinated operations especially at the distribution-level. This paper introduces a community-based transactive coordination mechanism designed to incentivize customers for providing localized and system-level services reflected through real-time prices. The work presents a bidding approach for communities with DERs, such as solar photovoltaic (PV) and battery energy storage systems (BESS), to formulate their price-responsiveness for retail energy coordination, emphasizing a community-centric model. By sending bidding curves to a third-party, the mechanism enables customers with DER assets to actively participate in localized coordination with the load serving entity (LSE), thereby supplementing each other’s and even the utilities needs through a shared energy economy. The proposed transactive mechanism is implemented leveraging a co-simulation framework that integrates a distribution grid simulator and Python-based agents for performance evaluation. Collaboration with a local utility to access real distribution feeder models and consumption profiles yields simulation results demonstrating the potential to reduce costs by 12\% for communities with DERs like PV and BESS.
Community-based coordination, grid-edge systems, R↗
VOLTTRON™ Agent Development for Enabling Reactive Power Support of Non-Utility DERs by Integrating Transactive Energy Approach
To enable better voltage regulation in power systems with high penetration of photovoltaics (PV) and other distributed energy resources (DERs), future inverters are required to provide reactive power support to the grid in addition to providing real power generated by PV panels. This paper develops a framework that coordinates the support from DER-based inverters, which are grid-connected non-utility assets, by using a transactive energy approach. Results of the implementation demonstrate participation of DER-based inverters can be achieved by using the coordination between distributed controllers and a centralized controller. With the transactive energy approach, both the customer and utility can achieve benefits that meet their individual needs.
Kritprajun, Paychuda↗
Peer-to-Peer Energy Trading under Network Constraints Based on Generalized Fast Dual Ascent
We report the wide deployment of renewable energy resources, combined with a more proactive demand-side management, is inducing a new paradigm in both power system operation and electricity market trading, which especially boosts the emergence of the peer-to-peer (P2P) market. A more flexible local market mechanism is highly desirable in response to fast changes in renewable power generation at the distribution network level. Moreover, large-scale implementation of P2P energy trading inevitably affects the secure and economic operation of the distribution network. This paper presents a new P2P electricity trading framework with distribution network security constraints considered using the generalized fast dual ascent method. First, an event-driven local P2P market framework is presented to facilitate short-term or immediate local energy transactions. Then, the sensitivity analysis of nodal voltage and network loss with respect to nodal power injections is used to evaluate the impacts of P2P transactions on the distribution network, which ensures the secure operation of the distribution system. Thereby, the external operational constraints are internalized, and the cost of P2P energy trading can be appropriately allocated in an endogenous way. Moreover, a generalized fast dual ascent method is employed to implement distributed market-clearing efficiently. Finally, numerical results indicate that the proposed model could guarantee secure operation of the distribution system with P2P energy trading, and the solution method enjoys good convergence performance.
24 POWER TRANSMISSION AND DISTRIBUTION↗
Best Practices for Operation and Maintenance of Photovoltaic and Energy Storage Systems; 3rd Edition
The goal of this guide is to reduce the cost and improve the effectiveness of operations and maintenance (O&M) for photovoltaic (PV) systems and combined PV and energy storage systems. Reported O&M costs vary widely based on the requirements of the system and the nature of the O&M contract, but a more standardized approach to planning and delivering O&M has the potential to both decrease costs and make those costs more predictable over time. This guide encourages adoption of best practices to reduce the cost of O&M and improve the performance of fielded systems, but it also enhances financing of new projects by making cost more predictable and mitigating performance risk. This guide also includes technical improvement opportunities in the design of systems and in specification of equipment because high-quality system deployment improves lifetime project performance and energy production while reducing, or at least optimizing, costs to deliver an O&M program. This guide provides recommendations that increase the effectiveness of O&M services; reduce O&M costs, improve solar asset transparency for investors and rating agencies; provide an industry framework for quality management; and reduce transaction costs.
14 SOLAR ENERGY↗
Techno-Economic Analysis of Data-Driven and Transactive Approaches for Resilience Enhancement
As extreme weather events lead to more frequent power outages, understanding and enhancing grid resilience is critical to mitigating economic losses and non-energy impacts from service disruptions. Here, this study introduces a novel techno-economic analysis framework for evaluating resilience enhancement mechanisms. The framework combines grid response modeling with a co-simulation approach and valuation methodology to provide a comprehensive assessment. We apply this framework to a realistic case study of the Texas grid during Winter Storm Uri in February 2021. Two advanced resilience strategies are analyzed: a data-driven rolling outage mechanism and a transactive energy (TE) based allocation scheme. The rolling outage scheme selectively serves customers based on real-time curtailment needs, while the TE scheme allows customers to trade energy allocations according to their preferences. Our findings show that both the rolling outage and TE schemes significantly outperform conventional methods (i.e. controlled outages) by reducing the amount of energy not supplied to customers by 41% and 64%, respectively. These approaches also enhance flexibility and customer satisfaction, while improving energy utilization for greater resilience. Additionally, they maintain thermal comfort about 3.5 times better and substantially lower customer risk exposure. A key contribution of this study is addressing both utility and customer perspectives while considering both energy and non-energy impacts. The techno-economic analysis indicates that implementing these resilience enhancement strategies would incur an additional 1.1Bto1.6B in utility costs but has the potential to avoid 17.3Bto18B of customer losses as compared to existing solutions, thereby underscoring the value of investing in advanced resilience, as it provides significant societal benefits to customers.
42 ENGINEERING↗
Co-Simulation of Detailed Whole Building with the Power System to Study Smart Grid Applications
Modernization of the power system in a way that ensures a sustainable energy system is arguably one of the most pressing concerns of our time. Buildings are important components in the power system. First, they are the main consumers of electricity and secondly, they do not have constant energy demand. Conventionally, electricity has been difficult to store and should be consumed as it is generated. Therefore, maintaining the demand and supply is critical in the power system. However, to reduce the complexity of power models, buildings (i.e., end-use loads) are traditionally modeled and represented as aggregated “dumb” nodes in the power system. This means we lack effective detailed whole building energy models that can support requirements and emerging technologies of the smart power grid. To gain greater insight into the relationship between building energy demand and power system performance, it is important to constitute a co-simulation framework to support detailed building energy modeling and simulation within the power system to study capabilities promised by the modern power grid. This paper discusses ongoing work at Pacific Northwest National Laboratory and presents underlying tools and framework needed to enable co-simulation of building, building energy systems and their control in the power system to study applications such as demand response, grid-based HVAC control, and deployment of buildings for ancillary services. The optimal goal is to develop an integrated modeling and simulation platform that is flexible, reusable, and scalable. Results of this work will contribute to future building and power system studies, especially those related to the integrated ‘smart grid’. Results are also expected to advance power resiliency and local (micro) scale grid studies where several building and renewable energy systems transact energy directly. This paper also reviews some applications that can be supported and studied using the framework introduced to understand their implications before they can be successfully implemented in the power system.
Makhmalbaf, Atefe↗
Zero-Export Feeder Through Transactive Markets
This presentation summarizes how HELICS was used during a collaborative project with Energy Web Foundation and Exelon Corporation. The primary focus of the research was on designing a transactive energy market to accomplish zero export at the feeder head. The market was tested in a HELICS co-simulation framework and showed significant promise for eliminating back feed at the substation even under high renewable energy penetration levels.
blockchain↗
Evaluating the effects of a low-carbon energy transition on existing U.S. fossil energy communities
On-going efforts and the growing movement to transition from our current energy systems towards low-carbon and renewable sources have uncovered a range of challenges and concerns communities may face under this transition. An understanding of the current relationships and dynamics within communities can offer critical insights that stakeholders, as well as decision and policy makers can use to better support and affect the outcome of these transitions. To support this need, the National Energy Technology Laboratory has been developing a data-driven framework to aid in the characterization of fossil energy communities across the U.S. and offer insights to comprehensively address energy transaction concerns by different stakeholder groups and various stages associated with a low-carbon energy system. This presentation will offer details on our current work to integrate multiple environmental, social, and economic data variables, as well as key trends and insights that are being used to characterize these communities at a local and regional scale. These insights will be used to evaluate with alternative opportunities, including, but not limited to, hydrogen, rare earth elements and critical minerals, and energy storage, that could be aid in the transition for these communities from conventional energy resources.
Bauer, Jennifer↗
Power Sector Transformation Pathways: Exploring Objectives, Factors, and Technology Innovations to Inform Power Sector Pathway Decisions
The power and heating sectors are responsible for around 30% of global CO2 emissions and this share is likely to grow as countries move towards electrification of the transportation and building sectors. Therefore, enabling forward-thinking, long term strategies in the power sector is a crucial area for international collaboration and support. The rapid transition of power systems toward modern, low-carbon pathways and technologies will be necessary to meet key climate goals while also enabling other critical objectives such as economic development, energy access, and energy system resiliency, among others. Many developed and developing countries are well-poised to champion power sector transformation (PST), however, further support is needed to identify pathways and implement critical near and long-term actions. To address this need, the Low Emission Development Strategies Global Partnership (LEDS GP) together with an expert team including Agora Energiewende, Energy Innovation, European Climate Foundation, Fraunhofer Institute for Systems and Innovation Research , Prayas Energy Group and LEDS Latin America and Caribbean Platform, developed a framework identifying four key pathways that can be integrated and combined to support low-carbon PST. These four pathways are: (1) Distributed Energy Resource Revolution, (2) Bulk Power Transformation, (3) Transmission and Distribution Interactivity, and (4) Distributed Transactional Future. To support exploration of pathways, this study examines PST objectives and factors that may lead countries or jurisdictions to place a greater relative emphasis on certain pathways as well as a framework and complementary tool for considering the emphasis in a hands on manner. The report provides case studies on application of the approach to bring life to the topic. The case studies include Haiti, Kenya, Mexico, Southeast Asia, and the European Union, among others. The report also presents actions to-be-taken in the near-, medium- and long-term to support the realization of pathways and long-term transformation of the power sector. The report, together with a complementary spreadsheet tool developed under the effort, can be used to enable stakeholder engagement and visioning for the power sector over the long-term, taking into account key factors and potential innovations. It can also be used to understand and inform relevant analysis tools and models based on which pathways are emphasized, and to identify key actions in the near- and medium-term to avoid lock-in of carbon-intensive technologies.
29 ENERGY PLANNING, POLICY, AND ECONOMY↗
Simulation-Based Valuation of Transactive Energy Systems
Transactive Energy (TE) has been recognized as a promising technique for integrating responsive loads and distributed energy resources as well as advancing grid modernization. To help the industry better understand the value of TE and compare different TE schemes in a systematic and transparent manner, a comprehensive simulation-based TE valuation method is developed. The method has the following salient features: 1) it formally defines the valuation scenarios, use cases, baseline and valuation metrics; 2) an open-source simulation platform for transactive energy systems has been developed by integrating transmission, distribution and building simulators, and plugin TE and non-TE agents through the Framework for Network Co-Simulation (FNCS); 3) transparency and flexibility of the valuation is enhanced through separation of simulation and valuation, base valuation metrics and final valuation metrics. In conclusion, a valuation example based on the Smart Grid Interoperability Panel (SGIP) Use Case 1 is provided to demonstrate the developed TE simulation program and the valuation method.
29 ENERGY PLANNING, POLICY, AND ECONOMY↗
The Distribution System Operator with Transactive (DSO+T) Study
The Distribution System Operator with Transactive (DSO+T) study investigates the engineering and economic performance of a transactive energy retail market coordinating a high penetration of customer-side flexible energy assets. The study seeks to answer whether such an implementation is cost effective for customers, recovers sufficient revenue for DSOs, and is equally applicable and beneficial to a range of flexible asset types, renewable generation scenarios, and market assumptions. Using a highly interdisciplinary co-simulation and valuation framework, this assessment encompasses the entire electrical delivery system from bulk system generation and transmission, through the distribution system, to the modeling of individual customer buildings and flexible assets (including heating, ventilation, and air conditioning [HVAC] units, water heaters, batteries, and electric vehicles). The study exercises a transactive energy retail market coordination scheme designed to integrate with an existing day-ahead and real-time competitive wholesale electricity market. Software decision-making agents are designed for the retail market operator as well as various price-responsive flexible assets. The engineering and economic performance of the transactive energy scheme is studied for two separate flexible asset deployments: flexible loads (HVAC units and residential water heaters) and behind-the-meter batteries. The results of each transactive case are compared to a business-as-usual case. These cases are subject to two different renewable generation scenarios, a moderate renewable generation scenario, representative of current levels of renewable generation deployment, and a future high renewables scenario, including the increased deployment of rooftop solar photovoltaic and electric vehicles. The transactive coordination scheme is shown to produce effective and stable control and decrease peak loads 9–15%. The resulting annual demand flexibility provides net economic savings of $3.3–5.0B per year for a region the size of Texas. Detailed analysis shows that net benefits were seen for a range of distribution system operator, customer, and flexible asset types. Both participating customer (with transactive flexible assets) and nonparticipating customers (with nonflexible assets) see reductions in annual utility bills and net annual energy expenses in the range of 10–16%.
29 ENERGY PLANNING, POLICY, AND ECONOMY↗
Distribution System Operator with Transactive (DSO+T) Study: Volume 1 (Main Report)
The Distribution System Operator with Transactive (DSO+T) study investigates the engineering and economic performance of a transactive energy retail market coordinating a high penetration of customer-side flexible energy assets. The study seeks to answer whether such an implementation is cost effective for customers, recovers sufficient revenue for DSOs, and is equally applicable and beneficial to a range of flexible asset types, renewable generation scenarios, and market assumptions. Using a highly interdisciplinary co-simulation and valuation framework, this assessment encompasses the entire electrical delivery system from bulk system generation and transmission, through the distribution system, to the modeling of individual customer buildings and flexible assets (including heating, ventilation, and air conditioning [HVAC] units, water heaters, batteries, and electric vehicles). The study exercises a transactive energy retail market coordination scheme designed to integrate with an existing day-ahead and real-time competitive wholesale electricity market. Software decision-making agents are designed for the retail market operator as well as various price-responsive flexible assets. The engineering and economic performance of the transactive energy scheme is studied for two separate flexible asset deployments: flexible loads (HVAC units and residential water heaters) and behind-the-meter batteries. The results of each transactive case are compared to a business-as-usual case. These cases are subject to two different renewable generation scenarios, a moderate renewable generation scenario, representative of current levels of renewable generation deployment, and a future high renewables scenario, including the increased deployment of rooftop solar photovoltaic and electric vehicles. The transactive coordination scheme is shown to produce effective and stable control and decrease peak loads 9–15%. The resulting annual demand flexibility provides net economic savings of $3.3–5.0B per year for a region the size of Texas. Detailed analysis shows that net benefits were seen for a range of distribution system operator, customer, and flexible asset types. Both participating customer (with transactive flexible assets) and nonparticipating customers (with nonflexible assets) see reductions in annual utility bills and net annual energy expenses in the range of 10–16%.
29 ENERGY PLANNING, POLICY, AND ECONOMY↗
Multi-stage charging and discharging of electric vehicle fleets
Fleets of electric vehicles will likely shift electricity demand, and the effect of upstream charging emissions will come from generation sources that are dispatched in response. This study proposes a multi-stage charging and discharging problem to translate low-cost energy transactions into vehicle dispatch decisions. A day-ahead charging optimization problem minimizes electricity purchases and marginal emissions damages, with energy transactions becoming targets in an optimization-based dispatch strategy for an on-demand shared autonomous electric vehicle (SAEV) fleet. The framework was tested for Austin, Texas, using an agent-based simulator. Fleets can schedule charging to lower daily power costs (averaging 15.5% or $\$0.79$/day/SAEV) while reducing health damages from generation-related pollution (2.8% or $\$0.43$/day/SAEV). Finally, fleet managers can increase profits ($\$8$ per SAEV per day) by adopting a multi-stage charging and discharging strategy that can serve more passengers per day than price-agnostic dispatch strategies.
33 ADVANCED PROPULSION SYSTEMS↗
Economical and Engineering Aspects of Proactive Demand Participation: Centralized versus Bilateral Control Structure
The electric grid of the U.S. is evolving from a system characterized by large and centralized fossil-fueled power plants and passive customers to a network with high penetration of distributed energy resources and proactive customers. This project facilitated the evolution of the U.S. electric power grid by enabling proactive participation of demands in electricity market at the power distribution system level. This project has three major achievements. First, we designed a centralized distribution system operator managed electricity market and developed a three-phase alternating current optimal power flow algorithm to coordinate the operation of large-scale flexible loads and distributed energy resources. Second, we designed a decentralized bilateral coordinate framework for retail electricity market, where each participating customer is capable of making decisions regarding energy production and consumption based on information received from transactive neighbors. Third, the impacts of centralized and decentralized demand-side participation scheme on power system operations were evaluated with both large-scale simulations and hardware-in-the-loop demonstrations. The major activities and specific accomplishments of the technical tasks are summarized in Section II. The detailed design of centralized/hierarchical and decentralized/bilateral retail electricity markets and the comparison between the two markets are described in Section III. The accomplishments and conclusions of the project are presented in Section IV. The major findings of the project falls into three areas, hierarchical distribution system operator managed electricity market, bilateral electricity market and decentralized market coordination, and comparison of centralized and decentralized market coordination mechanisms. In the area of hierarchical distribution system operator managed electricity market design, an integrated wholesale and retail electricity market was shown to be highly effective in extracting the operational flexibility from distributed energy resources to provide services to the wholesale market. A chordal conversion based convex iteration algorithm is not only computationally efficiency but also achieves global optimal solution in coordinating the operations of a large number of heterogeneous distributed energy resources.In the area of decentralized market coordination approach, we showed that bilateral transactions among proactive customers and decentralized transaction clearing mechanism based on simultaneous second-price sealed-bid auction can encourage truthful bidding strategies from the market participations. In addition, the individual customers can rely on a portfolio optimization approach to maximize their returns while minimizing risks. In the area of comparison of centralized and decentralized market coordination mechanisms, we found that the centralized market design results in higher social welfare and lower wholesale market clearing price for electricity. In general, centralized market design favors distributed energy resources and fixed loads. The decentralized market design mostly benefits flexible loads and conventional generators.
29 ENERGY PLANNING, POLICY, AND ECONOMY↗