A Day Ahead Market Energy Auction for Distribution System Operation
For distribution system operators, this work provides a market mechanism integrating distributed energy resources, but the results are incremental and lack concrete performance numbers.
The paper proposes a day-ahead double energy auction for distribution systems with dispatchable and renewable generation, battery storage, and flexible loads, cleared at Distribution LMP. The auction is weakly budget balanced without penalties for DSO deviation from wholesale market commitments.
In this paper, we study a day ahead double energy auction in a distribution system involving dispatchable generation units, renewable generation units supported by battery storage systems(BSSs), fixed loads, price responsive loads, and supply from the Whole Sale Market(WSM) at Locational Marginal Price(LMP). The auction is implemented within a Distribution System Operator (DSO) premises using Mixed Integer Linear Programming (MIP). The proposed auction is cleared at the Distribution LMP (DLMP) and is observed to be weakly budget balanced if no penalty is applied for DSO's deviation from originally committed supply from the WSM. Furthermore, the dynamics of LMP and DLMP, and their effect on distribution market participants scheduled quantities as well as the WSM supply to the distribution system is investigated.