An integrated market solution to enable active distribution network to provide reactive power ancillary service using transmission–distribution coordination

Abstract

The active distribution network (ADN) can provide the reactive power ancillary service (RPAS) to improve the operations of the transmission network operations (such as voltage control and network loss reduction) as distribution generation grows. In this context, an RPAS market is required to motivate the ADN to provide the RPAS to the transmission network since the transmission system operator (TSO) and the distribution system operator (DSO) are different entities. Hence, to obtain the TSO–DSO coordination in the RPAS market, this study proposes a two‐stage market framework on the basis of the successive clearing of the energy and RPAS markets. Additionally, a distributed market‐clearing mechanism based on an alternating direction method of multipliers (ADMM) is adopted to guarantee TSO's and DSO's information privacy. Furthermore, a binary expansion (BE) method is used to linearise the non‐convex bilinear terms in the market‐clearing model. The effectiveness of the proposed RPAS market framework and distributed market‐clearing mechanism is validated using two different test systems with different system scales.

Risk‐return optimised energy asset allocation in transmission‐distribution system using tangency portfolio and Black–Litterman model

“…The TSO's revenue (Equation ( 10)) is on account of i) the energy delivered to the HV bulk loads and MV/LV DSOs and ii) service charges from HV bulk generators, HV loads and DSOs. The profits of DSO and TSO are given in Equations (11) and (12), respectively.…”

“…At times, their objectives are common, and hence, they are modelled as single-objective optimisation problems such as minimisation of overall operational cost [4,5] or total network power losses [6] or tie-line power flows [7]. In view of encouraging the role of DSO in interconnected transmission-distribution systems, MV and LV DERs are sometimes treated as prospective ancillary and balancing service providers to support the TSO (on request) [8][9][10][11]. Analysing the TSO-DSO interactions and their decision-making is vital when both become stakeholders, especially in the presence of uncertain generating sources.…”