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Decentralized optimization for effective coordination of transmission and distribution systems with dynamic DER
Niranjan Raghunathan1, Zongjie Wang2, Feng Chen3
1Electrical and Computer Engineering Department, University of Connecticut, Storrs, 06268, USA.
FERC Order No. 2222 aims to integrate distributed energy resources (DERs) into electricity markets. A new decentralized optimization approach facilitates coordinated transmission and distribution operations for improved efficiency.
Area of Science:
- Electrical Engineering
- Power Systems Engineering
- Optimization Theory
Background:
- FERC Order No. 2222 promotes distributed energy resources (DERs) for grid benefits.
- Existing wholesale markets struggle with DER integration due to distribution network complexities.
- Transmission operators face challenges assessing DER impacts on distribution systems.
Purpose of the Study:
- To develop a decentralized optimization framework for coordinated transmission and distribution (T&D) operations with DERs.
- To address techno-economic challenges in integrating DERs into wholesale electricity markets.
- To improve the assessment of DER dispatch impacts on distribution networks.
Main Methods:
- A novel decentralized optimization approach using reduced distribution network (DN) models.
- Aggregation of DER market offers into virtual power plants (VPPs) based on feeder location.
- A five-stage testbed for simulating coordinated T&D dispatch and evaluating performance.
Main Results:
- The proposed framework demonstrates effectiveness and efficiency in coordinated T&D operations.
- High-quality solutions are obtained with fewer deviations from scheduled dispatch levels.
- The approach is particularly effective for systems with interconnections between distribution networks.
Conclusions:
- The developed decentralized optimization approach successfully facilitates DER integration into wholesale markets.
- Coordinated T&D operations are enhanced, leading to improved operational efficiency and pricing accuracy.
- The framework provides a viable solution for managing the complexities of DERs in modern power grids.
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