Self-scheduling and bidding strategy of microgrid with demand side participation in power market

Abstract

Microgrid (MG) has emerged as a new paradigm for effective integration of intermittent Renewable Energy Sources (RESs) and to meet increase in energy demand. With the advancement in control and telecommunication technology, consumers can participate in the energy market. But with the restructuring of power market, MG faces the problem of developing optimal bidding strategies to maximize its profit. In this paper, optimization based self-scheduling and strategy for bidding of MG in day ahead energy market is proposed to maximize utilities benefit. A low voltage 14-bus system having generating resources like solar, pumped hydro, wind and diesel generator including different types of consumers is considered for investigation. The role of consumers has been investigated for the system scheduling and in bidding process. The analysis shows that the consumers can play vital role in determining the optimal scheduling and bidding strategy of MG for participation in the energy market which not only maximizes its benefit but also reduces the burden on grid.