Distributed transactive energy trading framework in distribution networks

Jiayong Li, Chaorui Zhang, Zhao Xu, Jianhui Wang, Jian Zhao, Ying Jun Angela Zhang

Research output: Journal article publicationJournal articleAcademic researchpeer-review

80 Citations (Scopus)

Abstract

In this paper, we propose a novel transactive energy trading (TET) framework to deal with the economic issues in energy trading and the technical issues in distribution system operation in a holistic manner. In particular, we innovatively integrate a bilateral energy trading mechanism with the optimal power flow (OPF) technique to increase economic benefits to individual participants, and meanwhile ensure the reliability and security of the system operation. In order to resolve the inherent conflict of interests, Nash bargaining theory is used to model the TET problem, which is further decomposed into a multiperiod OPF problem and a payment bargaining problem. Moreover, we develop an efficient distributed algorithm for solving the TET problem base on alternating direction method of multipliers (ADMM). Instead of directly solving optimization subproblems like most ADMM-based distributed algorithms, we derive closed-form solutions to all subproblems to significantly improve the computational efficiency. Finally, numerical tests on the IEEE 37-bus and 123-bus distribution systems demonstrate the effectiveness of our proposed framework and the efficiency of our distributed algorithm.

Original languageEnglish
Article number8409328
Pages (from-to)7215-7227
Number of pages13
JournalIEEE Transactions on Power Systems
Volume33
Issue number6
DOIs
Publication statusPublished - Nov 2018

Keywords

  • alternating direction method of multipliers
  • bilateral energy trading
  • distributed algorithm
  • distribution networks
  • Nash bargaining
  • photovoltaic system
  • Transactive energy

ASJC Scopus subject areas

  • Energy Engineering and Power Technology
  • Electrical and Electronic Engineering

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