Transactive Energy Rationing in Islanded Electric Power Systems
Extreme weather events, many of which are climate change related, are occurring with increasing frequency and intensity and causing catastrophic outages. One of the major modern-day concerns of utilities is dealing with such extreme outages and consequently, its repercussions on the lives of people in society and social aspects. Traditionally, operators have been using rolling blackouts as a contingency plan to serve critical loads during such events when electricity supply is scarce. However, such blackouts practices are executed on a last-minute mandatory basis, depriving customers having low-capacity high priority loads (i.e. refrigeration, water, telecommunication, etc) that should also be serviced if at all possible. Historically, policymakers have often adopted quota-based regulatory actions or rationing for other commodities (such as gasoline, butter, sugar) to handle scarcity situations. Motivated from such quota based systems, our contribution presented in this work is an alternative transactive rationing mechanism that would provide some minimum level of service to all of the customers and serve the critical loads using market-based control during such scarcity-based contingencies. This is in contrast to the state-of-art TE mechanisms that allocate resources to customers solely based on their willingness-to-pay. The effectiveness of the proposed mechanism is demonstrated through simulation-based evaluation on two real-life use cases having feeder-level and microgrid-level configurations respectively. The simulation results clearly demonstrate the capability of the rationing scheme to serve customers’ high-priority loads through prolonged outages even during extreme scarcity scenarios.