A seven-state Markov model for determining the optimal operating mode of distributed generators

Abstract

Distributed generation resources (DG) can operate in three modes of peak shaving, backup, and intentional islanding. Optimal operation of DGs has high influence in reliability improvement and cost reduction. Accordingly, in this paper using the index of expected cost of interruption, the optimal operation mode of DGs is identified. The purpose of this optimization is improving the reliability and reducing the cost of distribution companies which own DG resources. Since any method, which considers all operation modes simultaneously, has not been presented, this paper is aimed to present a method to identify operation mode of DG. The presented method uses Monte Carlo simulation in order to model the network component and a seven-state Markov model is presented. Results show that total operation cost of the distribution companies is reduced 256838.489 ($/yr) by determining optimal operation mode for DG. Results also show that operation cost of system reduces drastically when DG operation mode is identified hourly rather than situation when DG operates in only single mode. Accordingly, using the presented method, companies which own DG can choose optimal operation mode of their DGs for each hour so that most benefits are acquired.

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“…Hosseini et al [5] in their study concentrated on reliability improvement and cost reduction. To carry on the study and to satisfy that the index of the expected cost of interruption and the optimal operation mode of Distributed Generation (DG) resources.…”