A two‐stage multi‐period distribution network expansion planning considering the integration of private investors

Abstract

In recent years, the emerging of renewable energy resources (RERs) in distribution networks has been rapidly raised by network planners. Although the integration of RERs brings a lot of advantages to distribution networks, they impose some disadvantages such as high initial capital investment on distribution companies (DISCO). This paper proposes a new two‐stage multi‐period distribution network expansion planning (DNEP), in which the potential of private investor's (PIs) participation is considered in the problem. In the proposed model, the planner presents an incentive price to buy energy from PIs so that it attracts them to participate in the planning projects. This incorporation is based on a long‐term contract that guarantees the benefits of both contract correspondents. The proposed model is presented as a hierarchical two‐stage optimization problem where the upper stage determines the general structure of the system and the lower level considers the operational conditions. Moreover, the photovoltaic plants (PVs) and energy storage systems (ESSs) are investigated as clean and new technologies in the planning, and DISCO determines the optimal sizing and sitting of these resources regarding technical and economical assessments. The fuzzy clustering method (FCM) is used to capture the intermittency of the system loads and solar irradiance by creating a day‐ahead scheme. The effectiveness of the proposed DNEP problem is evaluated through a 54‐bus distribution test system and a real 104‐bus test system as well. Simulation and economic results show that how PIs can play an important role in long‐term planning by investing RERs.

A comprehensive review of recent advances in optimal allocation methods for distributed renewable generation

“…ODGA may improve voltage stability [9], reliability [10], and DN loading ability [11] and reduce power losses and harmonic distortion [12]. Besides, ODGA can reduce unit energy cost and peak loading [13] and defer the distribution expansion [14] and infrastructure upgrade investment [15]. However, improper allocation of DG may cause protection equipment to malfunction and reverse the benefits due to the increase of short circuit current [16,17].…”

A bi‐level multistage distribution network expansion planning framework with the cooperation of residential private investors (A case study in Iran)

“…But based on the best of the authors’ knowledge, none of the existing papers concentrate on developing a long‐term DNEP with the cooperation of small‐scale private investors. Although in our previous study [21] the joint implementation of PV and battery in DNEP problem is considered, the potential of RPI in deferring the system requirements and their impact on total planning costs has not been considered yet. Therefore, here, a bi‐level multi‐stage DENP framework conducting residential investors into the technical targets is proposed.…”

Feasibility study on the integration of residential PV‐battery systems in system peak load shaving: A case study in Iran

“…However, installing distributed generation (DG), particularly renewable ones, has attracted huge attention in the last decades. Alongside this, many governments enacted supporting policies to encourage private investors in installing DGs due to their numerous advantages, like reliability, reducing greenhouse gas emissions, and decreeing power losses [2].…”

“…An optimal peak shaving strategy concerning dynamic FiT and demand was proposed in [31], where a day‐ahead prediction was developed to determine the best values of elements. In our previous studies [32–34], the cooperation of private investors and distribution companies in long‐term planning was considered. In these studies, a framework was introduced to conduct residential investors with respect to the distribution companies’ targets.…”