Risk-averse operation of microgrids in distribution systems with price-responsive demands
This paper introduces a decentralized, risk-averse operational framework for interconnected, unbalanced microgrids and the distribution system. Distribution system operation is modeled as a risk-averse optimization problem using conditional value-at-risk measures to enhance robustness against uncert...
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| Format: | Article |
| Language: | English |
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Elsevier
2025-07-01
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| Series: | International Journal of Electrical Power & Energy Systems |
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| Online Access: | http://www.sciencedirect.com/science/article/pii/S0142061525001322 |
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| author | Seyed Saeed Fazlhashemi Mohammad E. Khodayar Mostafa Sedighizadeh Mahdi Khodayar |
| author_facet | Seyed Saeed Fazlhashemi Mohammad E. Khodayar Mostafa Sedighizadeh Mahdi Khodayar |
| author_sort | Seyed Saeed Fazlhashemi |
| collection | DOAJ |
| description | This paper introduces a decentralized, risk-averse operational framework for interconnected, unbalanced microgrids and the distribution system. Distribution system operation is modeled as a risk-averse optimization problem using conditional value-at-risk measures to enhance robustness against uncertainties in price-responsive demand bids. Microgrid operations are structured as scenario-based robust optimization problems, capturing the worst-case scenarios for demand and solar PV generation. Non-convex energy management problems within the distribution system and microgrids are reformulated as convex optimization problems using the moment relaxation technique. A decentralized scheme addresses heterogeneous uncertainties in microgrids and the distribution system. The framework is applied to two case studies: a distribution system connected to two microgrids and a modified IEEE 123-bus distribution system connected to four microgrids. The risk-averse optimization solution is compared to that of a stochastic programming approach. For the IEEE 123-bus system, the results show that introducing risk aversion decreases social welfare by 44.63% compared to the risk-neutral solution but improves the conditional value-at-risk by 44.04%. Additionally, the impacts of dispatchable resources, including energy storage and distributed generation, on operation cost, phase balancing, and uncertainty control at the main feeder are examined. It is shown that incorporating a statistical distance metric to regulate power flow at the main feeder decreases social welfare by 6.48%. |
| format | Article |
| id | doaj-art-fa45a9a82cfa4aafa7d753ec2e54d113 |
| institution | DOAJ |
| issn | 0142-0615 |
| language | English |
| publishDate | 2025-07-01 |
| publisher | Elsevier |
| record_format | Article |
| series | International Journal of Electrical Power & Energy Systems |
| spelling | doaj-art-fa45a9a82cfa4aafa7d753ec2e54d1132025-08-20T03:09:44ZengElsevierInternational Journal of Electrical Power & Energy Systems0142-06152025-07-0116811058110.1016/j.ijepes.2025.110581Risk-averse operation of microgrids in distribution systems with price-responsive demandsSeyed Saeed Fazlhashemi0Mohammad E. Khodayar1Mostafa Sedighizadeh2Mahdi Khodayar3Department of Electrical and Computer Engineering, Southern Methodist University, TX, USADepartment of Electrical and Computer Engineering, Southern Methodist University, TX, USA; Corresponding author.Southwest Power Pool, AR, USADepartment of Computer Science, University of Tulsa, OK, USAThis paper introduces a decentralized, risk-averse operational framework for interconnected, unbalanced microgrids and the distribution system. Distribution system operation is modeled as a risk-averse optimization problem using conditional value-at-risk measures to enhance robustness against uncertainties in price-responsive demand bids. Microgrid operations are structured as scenario-based robust optimization problems, capturing the worst-case scenarios for demand and solar PV generation. Non-convex energy management problems within the distribution system and microgrids are reformulated as convex optimization problems using the moment relaxation technique. A decentralized scheme addresses heterogeneous uncertainties in microgrids and the distribution system. The framework is applied to two case studies: a distribution system connected to two microgrids and a modified IEEE 123-bus distribution system connected to four microgrids. The risk-averse optimization solution is compared to that of a stochastic programming approach. For the IEEE 123-bus system, the results show that introducing risk aversion decreases social welfare by 44.63% compared to the risk-neutral solution but improves the conditional value-at-risk by 44.04%. Additionally, the impacts of dispatchable resources, including energy storage and distributed generation, on operation cost, phase balancing, and uncertainty control at the main feeder are examined. It is shown that incorporating a statistical distance metric to regulate power flow at the main feeder decreases social welfare by 6.48%.http://www.sciencedirect.com/science/article/pii/S0142061525001322Risk-averse optimizationDecentralized operationEnergy storageMicrogridsUnbalanced distribution system |
| spellingShingle | Seyed Saeed Fazlhashemi Mohammad E. Khodayar Mostafa Sedighizadeh Mahdi Khodayar Risk-averse operation of microgrids in distribution systems with price-responsive demands International Journal of Electrical Power & Energy Systems Risk-averse optimization Decentralized operation Energy storage Microgrids Unbalanced distribution system |
| title | Risk-averse operation of microgrids in distribution systems with price-responsive demands |
| title_full | Risk-averse operation of microgrids in distribution systems with price-responsive demands |
| title_fullStr | Risk-averse operation of microgrids in distribution systems with price-responsive demands |
| title_full_unstemmed | Risk-averse operation of microgrids in distribution systems with price-responsive demands |
| title_short | Risk-averse operation of microgrids in distribution systems with price-responsive demands |
| title_sort | risk averse operation of microgrids in distribution systems with price responsive demands |
| topic | Risk-averse optimization Decentralized operation Energy storage Microgrids Unbalanced distribution system |
| url | http://www.sciencedirect.com/science/article/pii/S0142061525001322 |
| work_keys_str_mv | AT seyedsaeedfazlhashemi riskaverseoperationofmicrogridsindistributionsystemswithpriceresponsivedemands AT mohammadekhodayar riskaverseoperationofmicrogridsindistributionsystemswithpriceresponsivedemands AT mostafasedighizadeh riskaverseoperationofmicrogridsindistributionsystemswithpriceresponsivedemands AT mahdikhodayar riskaverseoperationofmicrogridsindistributionsystemswithpriceresponsivedemands |