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Summary With the new edge of smart grids technology, the concept of efficient energy management among cooperative microgrids (MGs) distribution networks for the next generation of energy trading applications has become more and more challenging. This article presents smart energy dispatch for multi‐MGs (MMGs) systems based on the cooperative distributed economic model predictive control (DEMPC) within a hierarchical structure. The optimization framework consists of two levels. First, a DEMPC coordinator computes the optimal energy dispatch solution, taking into account the energy surplus with a power‐sharing policy, the retail electricity price based on the time of use (TOU), and the distributed generators units. For the second level, each local controller executes the energy scheduling reference from the first level. Thus, the MMGs system achieves a global supply‐demand balance. Moreover, the proposed approach improves the utilization of renewable power and demonstrates optimal energy dispatch while reducing operating costs. Finally, to validate the efficiency and resiliency of our proposed approach, two cases of study are presented based on three interconnected MGs system under a cooperative and non‐cooperative optimization. Simulation results show the advantage of the cooperative strategy with 28% for MG 1, and 20% for MG 2 in terms of daily operating costs savings.

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