Hierarchical Low-Carbon Economic Dispatch with Source-Load Bilateral Carbon-Trading Based on Aumann–Shapley Method

Junpei Nan, Jieran Feng, Xu Deng, Chao Wang, Ke Sun and Hao Zhou
Additional contact information
Junpei Nan: College of Electrical Engineering, Zhejiang University, Hangzhou 310027, China
Jieran Feng: College of Electrical Engineering, Zhejiang University, Hangzhou 310027, China
Xu Deng: School of Electric Power Engineering, South China University of Technology, Guangzhou 510641, China
Chao Wang: Shaoxing Power Supply Company, State Grid Zhejiang Electric Power Co., Ltd., Shaoxing 312000, China
Ke Sun: State Grid Zhejiang Electric Power Co., Ltd., Hangzhou 310063, China
Hao Zhou: College of Electrical Engineering, Zhejiang University, Hangzhou 310027, China

Energies, 2022, vol. 15, issue 15, 1-17

Abstract: Introducing carbon trading is an essential way to decarbonize the power system. Many existing studies mainly consider source-side unilateral carbon trading (UCT). However, there are still rare studies considering source-load bilateral carbon trading (BCT). The effect of source-load BCT on system-wide carbon mitigation is worth studying. To fill this research gap, a hierarchical low-carbon economic-dispatch model with source-load BCT based on the Aumann–Shapley method was proposed. In the first layer, economic-dispatch was conducted to minimize the power-generation costs and source-side carbon-trading costs. Then, based on the carbon-emission flow (CEF) theory, the actual load carbon emissions can be obtained and passed to the second layer. At the second layer, the demand-response optimization was performed to minimize the load-side carbon-trading costs. Finally, the proposed model was tested on the modified New England 39-bus and IEEE 118-bus systems using the MATLAB/YALMIP platform with the Gurobi solver. The results indicate that the proposed model can effectively facilitate peak-load shifting, wind-power consumption, and carbon mitigation. Furthermore, compared with the models only considering source-side or load-side UCT, the proposed source-load BCT model has obvious advantages in carbon mitigation.

Keywords: Aumann–Shapley method; carbon emission; carbon-emission flow; carbon trading; demand response; low-carbon economic dispatch; power system (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://www.mdpi.com/1996-1073/15/15/5359/pdf (application/pdf)
https://www.mdpi.com/1996-1073/15/15/5359/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jeners:v:15:y:2022:i:15:p:5359-:d:870326

Access Statistics for this article

Energies is currently edited by Ms. Agatha Cao

More articles in Energies from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().