Day ahead scheduling of distribution system with Distributed Energy Resources considering demand response and energy storage

Abstract

This paper propose a method for day-ahead optimization of distribution system with Distributed Energy Resources (DER's) and energy storage devices that allows a) increase market efficiency and b) damping the variations of DER's. The objective is to utilize energy storage to damp the variations in the grid considering market price and to increase the grid efficiency. First, the implementation of day-ahead optimization that will determine which generation unit including DER's should be utilized using next 24 hour load taking into consideration of renewable energy generation forecasting is discussed. Next, the utilization of energy storage to damp the energy variations in the grid is evaluated. The problem is formulated as Nonlinear Programming (NLP) with the objective of maximizing the social welfare of the grid. The results shows that the proposed method can successfully fulfill the overall objectives.