A distributed Peer-to-Peer energy transaction method for diversified prosumers in Urban Community Microgrid System

Wang, Zibo; Yu, Xiaodan; Mu, Yunfei; Jia, Hongjie

doi:10.1016/j.apenergy.2019.114327

Cited by 134 publications

(73 citation statements)

References 33 publications

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“…[5] and [4], this interaction specifically deserves further attention in future literature and its effects on individual prosumers might not be fully mapped today. x x [62] x [99] x x [100] x [101] x [102] x x x [103] x x x [104] x x x [105] x x x x [48] x x x x [106] x x x [107] x x [108] x [109] x x [110] x x [111] x x x [112] x x [113] x x x [114] x x x [115] x x x [116] x x [117] x…”

Section: E Social Aspectsmentioning

confidence: 99%

“…In Ref. [116], the DSO performs an AC PF analysis after each market clearing and informs the D R A F T x x [70] x x [94] x x x [95] x x [96] x x x x [97] x x [98] x x x [62] x x x x [99] x x x x [100] x x x x [101] x x x [102] x x x [103] x x x [104] x x [105] x x [48] x [107] x x x x [108] x x [109] x x x [110] x x x [111] x x x [112] x x x [156] x x x x [113] x x x [114] x x x [115] x x [116] x x [117] x x [118] x x [119] x x [120] x x [121] x x [122] x x [123] x x x [124] x x x [125] x x x x [81] x x x x [126] x [127] x x x [47] x [129] x x [130] x x [131] x x x [132] x x [133] x x [118] x x [134] x x x…”

Section: ) Literature Focus: Cooperative Gamesmentioning

confidence: 99%

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Developments and Challenges in Local Electricity Markets: A Comprehensive Review

et al. 2021

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In recent years, power systems have undergone changes in technology and definition of the associated stakeholders. With the increase in distributed renewable generation and small-to medium-sized consumers starting to actively participate on the supply side, a suitable incorporation of decentralized agents into the power system is required. A promising scheme to support this shift is given by local electricity markets. These provide an opportunity to extend the liberal wholesale markets for electrical power found in Europe and the United States to the communal level. Compared to these more established markets, local electricity markets, however, neither have few practical implementations nor standardized frameworks. In order to fill this research gap and classify the types of local electricity markets, the presented paper therefore starts with the challenges that these markets attempt to solve. This is then extended to an analysis of the theoretical and practical background with a focus on these derived challenges. The theoretical background is provided in the form of an introduction to state-of-the-art models and the associated literature, whereas the practical background is provided in form of a summary of ongoing and recent projects on local electricity markets. As a result, this paper presents a foundation for future research and projects attempting to approach the here presented challenges in distribution of generation, integration of demand response, decentralization of markets and legal and social issues via local electricity markets.

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Section: E Social Aspectsmentioning

confidence: 99%

Section: ) Literature Focus: Cooperative Gamesmentioning

confidence: 99%

Developments and Challenges in Local Electricity Markets: A Comprehensive Review

et al. 2021

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“…P2p trading can also be modelled through a bidding process or by way of a gametheory approach. The authors in [13], [14], and [15] present an auction-based p2p trading mechanism, where different bidding strategies for prosumers are analyzed. Several papers are based on game-theory (Stackelberg game, Nash bargaining, a non-cooperative game) to model the negotiation between prosumers or between prosumers and a central entity responsible for p2p trading.…”

Section: B Literature Reviewmentioning

confidence: 99%

Electricity Cost-Sharing in Energy Communities Under Dynamic Pricing and Uncertainty

et al. 2021

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Most of the prosumers nowadays are constrained to trade only with the supplier under a flat tariff or dynamic time-of-use price signals. This paper models and discusses the cost-saving benefits of flexible prosumers as members of energy communities who can exchange electricity among peers and on the wholesale markets through a community manager. Authors propose a novel centralized post-process sharing method by introducing a two-stage mechanism which, unlike the existing methods, guarantees benefits for prosumers joining the energy community. The first stage assesses internal price calculation in three different methods: Bill Sharing Method Net (BSMN), Mid-Market Rate Net (MMRN), and Supply-Demand Ratio Net (SDRN). In their original form, prices are calculated in a single stage and the comprehensive analyses in the paper show that some members face increased cost. To solve this issue, the paper improves the methods by introducing the second stage in which the compensation methodology is defined for the distribution of savings which ensures that all community members gain benefits. Results investigate the value of inner technical flexibility of the prosumer (flexible preferences of the final consumer can reduce the cost from 3% up to 20 %). Moreover, incentives/penalties encourage the utilization of a flexible behavior to adjust the real-time consumption of prosumers' appliances to a predefined day-ahead schedule. This type of pricing results in a lower amount of benefits sharing in the community (the reduction of 18-47% in MMRN and 49-114% in SDRN compared to existing pricing) which makes this incentives/penalties pricing more preferable. The paper concludes that prosumers with an excess PV production would not benefit from the internal energy exchange in the community under BSMN due to free energy exchange between members.INDEX TERMS cost-sharing, day-ahead market, demand response, energy community, peer-to-peer trading I. NOMENCLATUREStochastic and non-stochastic parameters are presented as bold text, while variables are a regular type of text. Where augmented with the subscripts s and t, they refer to the values they take on in scenario s and time period t, while the subscript d stands for a household and ap for a different uninterruptible flexible appliance. If not stated differently, variables and parameters are positive. Indices and Sets ap∈ AUninterruptible flexible appliances d∈ D Households d∈ D + Community members with decreased cost in the first stage d∈ D -Community members with increased cost in the first stage t ∈ T Time steps

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“…Cadre et al characterized a P2P energy market solution as a variational equilibrium and proved that the set of variational equilibria coincides with the set of social welfare optimal solutions of market design [26]. Wang et al proposed a real-time double auction market with a continuous bidding mechanism for a distributed P2P energy transaction so that the coordination and complementarity of energy among prosumers could be achieved [27]. It is clear that these game-theory approaches can solve P2P energy transaction problems.…”

Section: B Prior Workmentioning

confidence: 99%

Peer-to-Peer Energy Transaction Mechanisms Considering Fairness in Smart Energy Communities

Son

2020

IEEE Access

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This study presents peer-to-peer (P2P) energy transaction mechanisms to maximize social welfare considering the uncertainty and profit fairness of the players. The P2P energy transaction problem is formulated as a P2P energy transaction pair matching and the determination of the P2P transaction price. To solve the problem, the optimal condition to maximize social welfare is determined using stochastic P2P energy transaction performance analysis based on the uncertainty characteristics. The analysis results show that social welfare is maximized to match the producer and consumer pairs that have similar demand characteristics; the P2P transaction price balances the profit fairness between the pair. Using these results, two centralized P2P energy transaction mechanisms are proposed by modifying the optimization problem. Moreover, a decentralized P2P energy transaction mechanism that operates in a distributed manner is suggested with the operational signal flow for the implementation of the mechanism. The simulation results show that the centralized and decentralized mechanisms have near optimal performance, with less than a 0.5% and 1% optimal gap compared to the optimal solution that requires perfect information including uncertainty, respectively. However, the decentralized mechanism is less computationally complex and uses less information than the centralized mechanisms; consequently, it can alleviate the operational burden and security and privacy problems. In addition, the results show that the performance of P2P energy transaction is related to the relative demand ratio between the producer and consumer. The optimal condition and results suggest a guide to the design of the P2P energy transaction. INDEX TERMS Demand-side management, distributed energy transaction, distributed generation, energy community, energy trading, fairness, peer-to-peer, prosumer, uncertainty.

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A distributed Peer-to-Peer energy transaction method for diversified prosumers in Urban Community Microgrid System

Cited by 134 publications

References 33 publications

Developments and Challenges in Local Electricity Markets: A Comprehensive Review

Developments and Challenges in Local Electricity Markets: A Comprehensive Review

Electricity Cost-Sharing in Energy Communities Under Dynamic Pricing and Uncertainty

Peer-to-Peer Energy Transaction Mechanisms Considering Fairness in Smart Energy Communities

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