Coordinated and decentralized trading of flexibility products in Inter-DSO Local Electricity Markets via ADMM

José A. Aguado and Ángel Paredes

Applied Energy, 2023, vol. 337, issue C, No S030626192300257X

Abstract: Local Electricity Markets (LEMs) arise as new layers of current market designs, enabling local trading of flexibility products. In many cases, LEMs encompass several networks, involving different Distribution System Operators (DSOs). This setting raises intrinsic concerns regarding the information privacy of the involved DSOs while trying to achieve system-wide efficiency. In this paper, a market design for the trading of flexibility products in inter-DSO LEMs is proposed where the DSOs are allowed to trade among the areas under the coordination of a Local Market Operator (LMO). A coordinated and decentralized approach based on the Alternating Direction Multiplier Method is proposed. The novel aspect of this work is that each DSO self-schedules its own assets in response to market signals (optimal dual variables) to fulfil the flexibility requests from itself or from other DSOs. An illustrative case study based on the IEEE 123 bus test systems is used for testing the proposed framework.

Keywords: Local energy market; Flexible product; Decomposition; Coordination; Privacy preserving (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S030626192300257X
Full text for ScienceDirect subscribers only

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:eee:appene:v:337:y:2023:i:c:s030626192300257x

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/journaldescription.cws_home/405891/bibliographic
http://www.elsevier. ... 405891/bibliographic

DOI: 10.1016/j.apenergy.2023.120893

Access Statistics for this article

Applied Energy is currently edited by J. Yan

More articles in Applied Energy from Elsevier
Bibliographic data for series maintained by Catherine Liu ().