Stochastic Distribution System Market Clearing and Settlement via Sample Average Approximation

Josue C. Do Prado, Hamid Vakilzadian, Wei Qiao, Dietmar P.F. Moller

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

The widespread use of distributed energy resources (DERs) in the distribution grid is changing the electricity sector worldwide in many ways. The integration of distributed renewable energy (DRE), demand response, and smart grid technologies (SGTs) can make the power systems more sustainable, efficient, and reliable. However, new entities and market mechanisms are needed to efficiently integrate those resources in the distribution grid. This paper presents a day-ahead energy and reserve market clearing and settlement model for a distribution system operator (DSO) considering the uncertainties of DRE at different nodes of the distribution grid. The problem is formulated as a stochastic optimization model, whose objective is to minimize the expected system operation cost over a specified time horizon. The problem is then solved using a Monte Carlo simulation algorithm based on sample average approximation (SAA). A case study is performed to demonstrate the effectiveness of the proposed model.

Original languageEnglish (US)
Title of host publication2018 North American Power Symposium, NAPS 2018
PublisherInstitute of Electrical and Electronics Engineers Inc.
ISBN (Electronic)9781538671382
DOIs
Publication statusPublished - Jan 2 2019
Event2018 North American Power Symposium, NAPS 2018 - Fargo, United States
Duration: Sep 9 2018Sep 11 2018

Publication series

Name2018 North American Power Symposium, NAPS 2018

Conference

Conference2018 North American Power Symposium, NAPS 2018
CountryUnited States
CityFargo
Period9/9/189/11/18

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Keywords

  • Distributed energy resource (DER)
  • Market clearing
  • Sample average approximation

ASJC Scopus subject areas

  • Computer Networks and Communications
  • Energy Engineering and Power Technology
  • Electrical and Electronic Engineering
  • Control and Optimization

Cite this

Do Prado, J. C., Vakilzadian, H., Qiao, W., & Moller, D. P. F. (2019). Stochastic Distribution System Market Clearing and Settlement via Sample Average Approximation. In 2018 North American Power Symposium, NAPS 2018 [8600576] (2018 North American Power Symposium, NAPS 2018). Institute of Electrical and Electronics Engineers Inc.. https://doi.org/10.1109/NAPS.2018.8600576