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DOE OSTI2020

Feasibility Analysis of Converter-Interfaced Combined Heat and Power System

As a promising new design concept, the converter-interfaced combined heat and power (CHP) system is coupled to the bulk grid through a rectifier and a grid-ready tied inverter. Compared to the traditional directly-coupled CHP system, it removes the requirement for oversizing the CHP generator, limits the short-circuit contribution of the generator and simplifies the grid integration process of CHP system. This paper evaluates the economic benefits of this concept by calculating the annualized Return-on-Investment (ROI) and comparing it to the directly-coupled system. The economic analysis includes timeseries simulations to compute energy transactions with the bulk grid as well as sizing the equipment to calculate the capital and operational costs. Obtained results indicate that in majority of user cases evaluated, the converter-interfaced CHP systems can provide better ROI than directly-coupled systems. Given the additional technical benefits provided by inverter-based distributed energy resources (DERs), the proposed concept is proved to be technically viable and economically feasible.

03 NATURAL GAS↗

DOE OSTI2020

Evaluation and Demonstration of Blockchain Applicability Framework

Blockchain technology has been gaining great interest from a variety of industry sectors, including financial, food processing, and power and energy markets. Realizing the strength of blockchain technology beyond the successful application in the cryptocurrency arena, researchers have been evaluating and using blockchain for applications such as supply chain management, transactive industry (both financial and energy), system integrity, device cybersecurity, identity management, and much more. One of the unique elements of the blockchain technology that made it such a captivating technology to researchers is its plethora of features. Some of the features include smart contracts, cryptocurrency and tokenizing, immutable distributed ledger, cryptographic hashing, and digital signature. In addition, there are multiple types of blockchains, such as permissioned/private and permissionless/public, and various consensus models, such as proof-of-work, proof-of-authority, proof-of-burn, and proof-of-stake. Therefore, it is often non-trivial to determine if an application requires a blockchain. If so, what kind of blockchain and consensus is most appropriate? This paper discusses the blockchain applicability framework (BAF), which was specifically designed with the purpose to answer those questions. BAF is divided into five domains, 18 subdomains, and about 100 controls. It is designed to ingest detailed user requirements to perform a weighted evaluation that is built on mathematical constructs to determine the ideal combination of blockchain that is appropriate for an application. Along with the core logical formulation of BAF, this paper depicts the efficacy of BAF through two use cases

Gourisetti, Sri Nikhil G.↗

DOE OSTI2022

Implementing multi-settlement decentralized electricity market design for transactive communities with imperfect communication

Recent advances in information and communication technologies and smart metering, provides strategic opportunities for ``prosumers" to reform their conventional energy practices towards more consumer-centric economies. From an operational perspective, managing power distribution networks is becoming more difficult with such active grid-edge systems providing limited to no visibility or control. Transactive Energy (TE) has been emerging as a key enabler towards effectively and efficiently integrating prosumers into competitive electricity markets. This work presents a transactive implementation of community-centric markets. A co-simulation framework is developed for evaluating the proposed market structure with high-fidelity models. Case studies on the IEEE-123 node test system demonstrate that community-centric transactive markets can enable communities of prosumers to operate collaboratively as grid-edge systems. The potential benefits of implementing community-centric TE systems are also illustrated.

Mukherjee, Monish↗

DOE OSTI2022

Allocation Mechanisms in Rationed Markets

Economic theory has come to play an important role in power system operations through the design of wholesale markets that are central to their operation. Furthermore, transactive energy places economic theory as a cornerstone in its operational concept as it seeks to integrate the technical needs of the power system with the preferences of its participants. Traditionally the mechanism employed is the continuous double-auction but de-pending on the circumstances the power system find itself in, this mechanism may or may not be the most appropriate, i.e. a one-size fits all market institution cannot be recommended without regard for the features of the underlying trading environment. This paper seeks to explain the economic rationale that guides the choice of a market institution and takes recourse to a theoretical demonstration in the context of a rationed power system scenario where demand exceeds generation (due to any number of events such as outages, microgrid operation, etc) and electrical energy must be rationed to better understand which types of mechanisms are most appropriate.

transactive energy, power system economics, econom↗

DOE OSTI2022

Building Energy Systems as Behind-the-Meter Resources for Grid Services: Intelligent load control and transactive control and coordination

To mitigate the impacts of climate change, significant reductions in emissions from all sectors of the economy are needed. The electricity generation sector has embarked on an ambitious plan to include renewable generation as part of its decarbonization efforts, and many cities and states are mandating all-electric buildings. While renewable resources will reduce emissions, they are not dispatchable, they vary temporally, and their generation is uncertain. Under these conditions, traditional approaches to managing grid reliability, where supply follows demand, will not be efficient and may not be cost-effective. Further, there is a more efficient alternative for balancing the supply–demand imbalance and for absorbing variability and uncertainty of renewable energy using distributed energy resources (DERs) as opposed to reserve generation. Because buildings consume more than 75% of total U.S. annual electricity consumption, behind-the-meter (BTM) DERs have a load flexibility of 77 GW of power and 90 GWh of virtual energy storage capacity nationwide (Kalsi, 2017). Therefore, some portion of the supply–demand imbalance can be met by these DERs at a lower cost compared to business-as-usual solutions.

24 POWER TRANSMISSION AND DISTRIBUTION↗

DOE OSTI2024

Security Constrained Distributed Transaction Model for Multiple Prosumers

Massive access of renewable energy has prompted demand-side distributed resources to participate in regulation and improve flexibility of power systems. With large-scale access of massive, decentralized, and diverse distributed resources, demand-side market members have transformed from traditional “consumers” to “prosumers”. To explore the distributed transaction model of prosumers, in this paper, a multi-prosumer distributed transaction model is proposed, and the Conditional Value-at-Risk (CVaR) theory is applied to quantify potential risks caused by the stochastic characteristics inherited from renewable energy. First, a prosumer model under constraints of the distribution network including photovoltaic units, fuel cells, energy storage system, central air conditioning and flexible loads is established, and a multi-prosumer distributed transaction strategy is proposed to achieve power sharing among multiple prosumers. Second, a prosumer transaction model based on CVaR is constructed to measure risks inherited from the uncertainty of PV output within the prosumer and ensure safety of system operation in extreme PV output scenarios. Then, the alternating direction multiplier method (ADMM) is utilized to solve the constructed model efficiently. Finally, distributed transaction costs of prosumers are distributed fairly based on the generalized Nash equilibrium to maximize social benefits. Simulation results show the multi-prosumer distributed transaction mechanism established under the proposed generalized Nash equilibrium method can encourage power sharing among prosumers, increasing their own income and social benefits. Also, the CVaR can assist decision making of prosumers in weighting the risks and benefits, improving system resilience through energy management of prosumers.

24 POWER TRANSMISSION AND DISTRIBUTION↗

DOE OSTI2020

Analytical Voltage Sensitivity Analysis for Unbalanced Power Distribution System

Large scale integration of distributed energy resources and electric vehicles in a transactive energy environment present new challenges in terms of voltage stability and fluctuations in a power distribution system. The impact of different level of DER/EV penetration on the voltages across the network is typically quantified through voltage sensitivity analyses. Existing methods of voltage sensitivity analysis are computationally expensive and prior efforts to develop analytical approximation lacks generality and have not been effectively validated. The objective of this work is to provide a new analytical method of voltage sensitivity analysis that has low computational cost and also allows for stochastic analysis of voltage change. This paper first derives an analytical approximation of change in voltage at a particular bus due to change in power consumption at other bus in a radial three phase unbalanced power distribution system. Then, the proposed method is shown to be valid for different load configurations, which demonstrates its generality. The results from our analytical approach is validated via classical load flow simulation of the test system based on IEEE 37 bus network. The proposed method is shown to have good accuracy, and computation complexity is of order O(1), compared to O(n3) in classical sensitivity analysis approaches.

Munikoti, Sai↗

DOE OSTI2022

Federated Architecture for Secure and Transactive Distributed Energy Resource Management Solutions (FAST-DERMS)

Develop a controls architecture to manage a broad range of DERs across the grid for bulk system services through transactive, aggregation, and direct control methods.

bulk system services↗

DOE OSTI2022

Enhanced deep neural networks with transfer learning for distribution LMP considering load and PV uncertainties

As the flexibility of generation and demand increases in distribution systems, the residential loads are emerging as a promising means to participate in demand response and the transactive energy market. Market pricing is an instrumental mechanism for the distribution system operator to exploit the full potential of the flexible resources. The distribution locational marginal price (DLMP) can be used to guide the residential load consumption. This type of market signal helps the distribution system operator to optimize the scheduling of all resources while satisfying related network constraints through a day-ahead market. However, solving the optimization problem for large-scale systems can be computationally expensive. To address the scalability and practicability limitations of the DLMP framework, a learning-based approach is proposed in this paper to complement the day-ahead distribution market framework. Here, the proposed approach combines long short-term memory and transfer learning to develop deep neural network that can capture the spatial–temporal correlation of the input data. The model can determine the optimal DLMP for each node in a distribution system without the system parameters required to formulate the optimization problem. Testing results on IEEE 33-bus and 123-bus systems show that the proposed approach can generate a comparable DLMP against the optimization solutions.

24 POWER TRANSMISSION AND DISTRIBUTION↗

DOE OSTI2020

Safe and Private Forward-trading Platform for Transactive Microgrids

Power grids are evolving at an unprecedented pace due to the rapid growth of distributed energy resources (DER) in communities. These resources are very different from traditional power sources, as they are located closer to loads and thus can significantly reduce transmission losses and carbon emissions. However, their intermittent and variable nature often results in spikes in the overall demand on distribution system operators (DSO). To manage these challenges, there has been a surge of interest in building decentralized control schemes, where a pool of DERs combined with energy storage devices can exchange energy locally to smooth fluctuations in net demand. Building a decentralized market for transactive microgrids is challenging, because even though a decentralized system provides resilience, it also must satisfy requirements such as privacy, efficiency, safety, and security, which are often in conflict with each other. As such, existing implementations of decentralized markets often focus on resilience and safety but compromise on privacy. In this article, we describe our platform, called TRANSAX, which enables participants to trade in an energy futures market, which improves efficiency by finding feasible matches for energy trades, enabling DSOs to plan their energy needs better. TRANSAX provides privacy to participants by anonymizing their trading activity using a distributed mixing service, while also enforcing constraints that limit trading activity based on safety requirements, such as keeping planned energy flow below line capacity. We show that TRANSAX can satisfy the seemingly conflicting requirements of efficiency, safety, and privacy. We also provide an analysis of how much trading efficiency is lost. Trading efficiency is improved through the problem formulation, which accounts for temporal flexibility, and system efficiency is improved using a hybrid-solver architecture. Lastly, we describe a testbed to run experiments and demonstrate its performance using simulation results.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

DOE OSTI2022

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↗

DOE OSTI2022

Distribution System Operator with Transactive (DSO+T) Study: Volume 1 (Main Report)

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

DOE OSTI2026

Operational Simulation of Multi-Functional Charging Station for Sustainable Transportation

As transportation systems move toward electrification and decarbonization, multifunctional charging stations (MFCS) are emerging as key infrastructure for electric vehicles (EVs) and hydrogen fuel cell vehicles (HFCVs). This paper presents a simulation model of an MFCS that integrates solar photovoltaic (PV), wind power, battery storage, hydrogen (\mathrm{H}_{2}) production, dual-pressure \mathrm{H}_{2} storage, fuel cells, and dynamic grid interactions. The model simulates daily operations using 5 -minute resolution data to capture realtime variability in renewable energy (RE), demand, and electricity prices. A flexible dispatch algorithm dynamically allocates energy for EV charging, \mathrm{H}_{2} production, storage, and grid transactions while respecting system constraints. Results show that the MFCS effectively prioritizes RE usage, minimizes waste, meets diverse energy demands, and achieves net operational profit. The model serves as a valuable decision-support tool for designing and optimizing integrated clean energy hubs for zero-emission transportation.

Gbadegoye, Jeremiah [University of Tennessee, Knox↗

DOE OSTI2022

A Self-Organizing Nano Grid (SONG) for Energy Access Clusters

In this paper, a bottom-up dc Self-Organizing Nano Grid (SONG) for rural electrification at ultra-low-cost through a flexible and scalable topology is presented. The proposed nano grid requires no communication and uses dc-bus signaling to convey excess energy in the system through the bus voltage, allowing independent agents to conduct energy transactions based on their needs in a decentralized manner. Moreover, this article proposes a concept that uses a novel multi-source, multi-segment droop control strategy with demand coordination, allowing for dynamic self-balancing of the system under fluctuating operating conditions. The unique use of a surplus photovoltaic (PV) power droop mode precisely estimates energy availability to minimize load chattering that helps in stabilizing the dc-bus. In addition, this architecture uses standard dc/dc converters for a low-cost, modular, Plug and Play ( PnP ) solution with highly automated operation, enabling local assembly, operation, and maintenance by non-technical personnel. The proposed SONG concept was validated in simulation and with a 700W, laboratory-scale, custom made nano grid system. The simulation and experimental test cases show the feasibility of the SONG system by demonstrating the proposed multi-source, multi-segment droop control strategy without load chattering under varying operating conditions.

dc-dc converter↗

DOE OSTI2023

Taming the wild edge of smart grid – Lessons from transactive energy market deployments

For two decades, the idea of using market-based approaches in field deployments that coordinate the flexible operation of electricity customer assets has occupied the efforts of transactive energy practitioners. While the purported benefits of this distributed decision-making approach have been well explored, the practical aspects of implementing such a system to address real-world problems are just beginning to emerge. This report surveyed 24 field-deployed programs and interviewed experts instrumental in these deployments. The results of the survey and interviews reveal the diversity of designs and applications. They highlight the technical promise of the approaches as well as challenges with system integration, sustainable business strategy, and regulatory policy obstacles. Insights from the survey offer considerations to direct future effort and investment.

24 POWER TRANSMISSION AND DISTRIBUTION↗

DOE OSTI2023

Transactive Energy Communications Interface Standards Landscape

Transactive energy represents distributed, optimal-seeking coordination approaches for managing the operation of large numbers of energy-related devices and systems. The concept assumes intelligent agents interact with other agents on behalf of their owners to balance the supply and demand of energy and coordinate other operation services in an electric system. They do this by exchanging value signals for services in near-term and forward time periods using market mechanisms. The technique is particularly applied to coordination of flexibility in operating distributed energy resources. The integration of large numbers of devices requires that they be able to connect and interoperate easily and reliably. Given the many technologies and solution providers integrating products, communications interfaces based on clear, unambiguous specifications with supporting tests require standardization and adoption by the community of system integrators. This report reviews the state of communications interface standards that show promise for transactive energy approaches to the coordination of distributed energy resources. It reviews promising standards to highlight challenges and gaps. It offers structured comparisons between standards and the features offered by their ecosystems of participants.

24 POWER TRANSMISSION AND DISTRIBUTION↗

DOE OSTI2022

DSO+T: Expanded Study Results DSO+T Study: Volume 5

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. This report volume provides a detailed set of results for the DSO+T study extending results presented in Volumes 1, 2, and 4. The engineering and economic performance of the transactive energy scheme is presented 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%.

24 POWER TRANSMISSION AND DISTRIBUTION↗

DOE OSTI2025

An Introduction to the Federated Architecture for Secure and Transactive Distributed Energy Management Solutions (FAST-DERMS)

Deployment and capability of distributed energy resources (DER) in power systems is growing rapidly. These resources present an opportunity for low-cost provision of energy and grid services. The Federal Energy Regulatory Commission recently provided rulings to enable market participation of these distribution-connected resources, but the prevailing strategies for their management may not scale well to meet future needs. This paper introduces the Federated Architecture for Secure and Transactive Distributed Energy Management Solutions (FAST-DERMS) which was designed to address this need. In it we describe the architectural features of the approach, and a reference controls implementation employing a hierarchical coordination that includes stochastic optimization, model predictive control, and a simple real-time management scheme. Sample results from simulation show firm transmission-level service provision measured at the distribution substation.

grid architecture↗