A smart community energy management scheme considering user dominated demand side response and P2P trading

Abstract

This paper proposed a Peer-to-Peer (P2P) local community energy pool and a User Dominated Demand Side Response (UDDSR) that can help energy sharing and reduce energy bills of smart community. The proposed UDDSR allows energy users within the community to submit flexible Demand Response (DR) bids to Community Energy Management Scheme (EMS) with flexible start time, stop time and response durations with regard to users' comfort zones for electric heating systems, electric vehicles and other home appliances, which gives maximum freedom to the DR participants. The scheduling of the DR bids, originally a multi-objective optimization problem (maximize the total flexible demand and the flexible demand in every interval during the whole DR duration), is transferred to a single objective optimization problem (maximize the total demand with penalty for demand imbalance during the whole DR duration) that can significantly decrease the computational complexity. Furthermore, to facilitate efficient energy usage among neighbourhoods, a local energy pool is also proposed to enable the energy trading among users aiming to facilitate the usage of surplus energy within the community. The electricity price of energy pool is determined by the real-time demand/supply ratio, and upper/lower limit for the price is configured to ensure the profitability for all the participants within the pool. To evaluate the performance of proposed UDDSR and local energy pool, comprehensive numerical analysis is conducted. It is found that the energy pool participants without PV can get at least 6.16% savings on electricity bill (when PV penetration level equals to 20%). The energy pool participants with PV can get much better return (at least 13.4% profit increase) on the PV generation compared to the conventional Feed-in-Tariff. If energy users join the UDDSR scheme, the participants can get further return, and the proposed UDDSR can provide a constant load reduction/increase during the every time interval of the whole DR event. If Battery Energy Storage System (BESS) is included in the DR operation, the usage efficiency of customers' flexible loads can achieve more than 85%.

Reinforcement learning in local energy markets

“…When comparing our results with existing literature, it is observed that Zhou et al (2020) explored the paradigm of user dominated DR and peer-to-peer trading on a local energy market of 50 households. Here, a PV installation of 3,2 kWp was used for the simulation.…”

“…With a penetration of 50% PV, which is similar to our case, an annual saving on the cost of electricity provision of 17,7% was achieved with only peer-to-peer trading. The increase in savings of the consumers through DR was not reported by Zhou et al (2020).…”

Framework to Facilitate Electricity and Flexibility Trading within, to, and from Local Markets

“…P2P electricity exchange models are attractive for both prosumers and customers, because prosumers have the opportunity to sell surplus electricity to peers at higher tariffs than the amounts they could sell back to the supplier, while consumers could buy local renewable electricity at lower tariffs [7][8][9]. P2P trading essentially turns passive customers into active market participants who participate in trading their available energy resources [10].…”

Realistic Energy Commitments in Peer-to-Peer Transactive Market with Risk Adjusted Prosumer Welfare Maximization

“…Thus, modern-day consumers have become prosumers by which they satisfy their own demand and with the surplus, they either give back to the grid or deliver to one or more peers. Consequently, local energy trading among peers subscribed to a common market framework is encouraged, leading to a P2P transactive environment [1] - [3]. To facilitate this framework, local energy networks incorporate bidirectional power flow and smart metering, information & communication technology, cyber-physical interaction, decentralized control [4] and trading platforms [5].…”