Assessment of Power System Asset Dispatch under Different Local Energy Community Business Models

Abstract

Community energy projects have gained popularity in recent years, and encouraging citizens to form local energy communities (LEC) is considered an effective tool for raising awareness about renewable energy. Since no single universal method exists for operating LECs, this study investigated the impact that different business models and asset dispatch methods have on LECs’ economic and energy-related indicators. We carried out a case study, which included the development, modelling, and simulation of seven scenarios using mixed-integer linear programming (MILP). To measure and compare the prospective performance of the LECs in each scenario, six key metrics were evaluated and assessed. The authors find that simple, rule-based control systems might be well suited for LECs with a limited number of controllable assets that aim to provide increased levels of self-consumption of up to 3%. We also conclude that when the LEC utilises an energy cooperative business model, the selected asset dispatch method provides only minor differences in LEC performance, while for prosumer communities, the importance of selecting a suitable asset dispatch method is higher. We also conclude that LECs have the potential to significantly increase their economic performance by more than 10% by acting as aggregators and providing grid services directly to system operators.

A Competitive Framework for the Participation of Multi-Microgrids in the Community Energy Trading Market: A Case Study

“…A case study of an actual segment of an electricity distribution system of a residential area in the city of Riga, Latvia, is used for the testing of the developed framework [37]. There are four MG connected with the grid utility, and each MG is composed of different DERs (loads and PV1 systems), as displayed in Figure 20.…”