TY - JOUR
T1 - A framework for participation of prosumers in peer-to-peer energy trading and flexibility markets
AU - Khorasany, Mohsen
AU - Shokri Gazafroudi, Amin
AU - Razzaghi, Reza
AU - Morstyn, Thomas
AU - Shafie-khah, Miadreza
N1 - Funding Information:
Amin Shokri Gazafroudi acknowledges the support by the CoNDyNet2 project funded by German Federal Ministry of Education and Research under grant number 03EK3055E . Moreover, the work of Miadreza Shafie-khah was supported by FLEXIMAR-project (Novel marketplace for energy flexibility), which has received funding from Business Finland Smart Energy Program , 2017–2021.
Publisher Copyright:
© 2022 Elsevier Ltd
PY - 2022/5/15
Y1 - 2022/5/15
N2 - As the owners of distributed energy resources (DER), prosumers can actively manage their power supply and consumption and partake in new energy services. In order to enable prosumers to benefit from their participation in energy services, innovative market models need to be designed. This paper proposes a framework for local energy and flexibility trading within distribution networks, in which prosumers participate in a peer-to-peer (P2P) market to trade energy with each other based on their preferences. The P2P market is cleared in a decentralized manner with direct interaction of seller and buyer prosumers. Then, the distribution system operator (DSO) checks the network constraints based on the energy scheduling of prosumers. If the network constraints are not satisfied, the DSO calculates the flexibility that is required in each feeder to avoid network issues. Triggered by the requested flexibility by the DSO, prosumers in each feeder form a community and participate in a flexibility market, in which they can offer their flexibility in response to the DSO's request. An iterative auction is employed to clear the flexibility market, which enables the prosumers to independently decide on their offered flexibility, while the DSO adjusts the flexibility price to minimize its costs. The proposed framework is tested on a real-world distribution network. Simulations based on a number of case studies indicate that through the proposed framework, the DSO can avoid network constraints violation by employing prosumers’ flexibility. Besides, participation in the P2P and flexibility trading reduces the net energy costs of the prosumers in different community by an average of 17.09%.
AB - As the owners of distributed energy resources (DER), prosumers can actively manage their power supply and consumption and partake in new energy services. In order to enable prosumers to benefit from their participation in energy services, innovative market models need to be designed. This paper proposes a framework for local energy and flexibility trading within distribution networks, in which prosumers participate in a peer-to-peer (P2P) market to trade energy with each other based on their preferences. The P2P market is cleared in a decentralized manner with direct interaction of seller and buyer prosumers. Then, the distribution system operator (DSO) checks the network constraints based on the energy scheduling of prosumers. If the network constraints are not satisfied, the DSO calculates the flexibility that is required in each feeder to avoid network issues. Triggered by the requested flexibility by the DSO, prosumers in each feeder form a community and participate in a flexibility market, in which they can offer their flexibility in response to the DSO's request. An iterative auction is employed to clear the flexibility market, which enables the prosumers to independently decide on their offered flexibility, while the DSO adjusts the flexibility price to minimize its costs. The proposed framework is tested on a real-world distribution network. Simulations based on a number of case studies indicate that through the proposed framework, the DSO can avoid network constraints violation by employing prosumers’ flexibility. Besides, participation in the P2P and flexibility trading reduces the net energy costs of the prosumers in different community by an average of 17.09%.
KW - Decentralized optimization
KW - Energy flexibility
KW - Iterative double auction
KW - Local energy market
KW - Peer-to-peer energy trading
UR - http://www.scopus.com/inward/record.url?scp=85127136442&partnerID=8YFLogxK
U2 - 10.1016/j.apenergy.2022.118907
DO - 10.1016/j.apenergy.2022.118907
M3 - Article
AN - SCOPUS:85127136442
VL - 314
JO - Applied Energy
JF - Applied Energy
SN - 0306-2619
M1 - 118907
ER -