Intelligent Agent Based Auction by Economic Generation Scheduling for Microgrid Operation Wu Wen-Hao Oct 26th, 2013 Innovative Smart Grid Technologies (ISGT), 2010 R.Bhuvaneswari, S.K.Srivastava, C.S.Edrington, D.A.Cartes, S.Subramanian

Outline  Introduction  Market operation  Multi Agent System  Implementation  Results and Discussion  Conclusion  Introduction  Market operation  Multi Agent System  Implementation  Results and Discussion  Conclusion

Introduction  Microgrid concept provides an effective approach to integrating small- scale distributed energy resources (DERs) into the bulk electric grid.  The benefits of DERs are seen to be the reliability of service, especially for those in areas where outages are common.  DER(Distributed Energy Resources) solutions include a reduction in emissions for some technologies.  Microgrid concept provides an effective approach to integrating small- scale distributed energy resources (DERs) into the bulk electric grid.  The benefits of DERs are seen to be the reliability of service, especially for those in areas where outages are common.  DER(Distributed Energy Resources) solutions include a reduction in emissions for some technologies. 3

Introduction  From a centralized system to a distributed one has necessitated, distributed control with decision making done locally with power source and load can potentially create a scalable and robust energy system.  The Multi Agent System technology is suitable for autonomous control of microgrid.  An Artificial Immune System (AIS) based optimization method is used in agent based architecture to determine the optimal generation schedule of the DG(Distributed Generation) sources that will aid the bidding process in an energy market.  From a centralized system to a distributed one has necessitated, distributed control with decision making done locally with power source and load can potentially create a scalable and robust energy system.  The Multi Agent System technology is suitable for autonomous control of microgrid.  An Artificial Immune System (AIS) based optimization method is used in agent based architecture to determine the optimal generation schedule of the DG(Distributed Generation) sources that will aid the bidding process in an energy market. 4

Market operation  The trading is taking place over regular intervals of time  The grid operator announces two prices : the price for selling energy and price for buying energy.  The generator units in the microgrid adjust their set points after negotiation with the other units based on the grid prices, their operational cost and local demands.  The trading is taking place over regular intervals of time  The grid operator announces two prices : the price for selling energy and price for buying energy.  The generator units in the microgrid adjust their set points after negotiation with the other units based on the grid prices, their operational cost and local demands. 5

Market operation 1.The grid operator announces the prices for selling or buying energy to the microgrid. 2.The local loads announce their demand 3.The generation units run an optimization routine to minimize the cost of generation and to determine the individual generations. 1.The grid operator announces the prices for selling or buying energy to the microgrid. 2.The local loads announce their demand 3.The generation units run an optimization routine to minimize the cost of generation and to determine the individual generations. 6

Market operation 4. The generator agents bids and negotiates, the generators decrease their offer as long as the generator bid is more than the buying price suggested by the grid or the generator bid reaches the break even point 5. After the end of the negotiation period, all the units know their generations. If there is no generation unit of the microgrid to satisfy the load demand, the power is bought from the grid. 4. The generator agents bids and negotiates, the generators decrease their offer as long as the generator bid is more than the buying price suggested by the grid or the generator bid reaches the break even point 5. After the end of the negotiation period, all the units know their generations. If there is no generation unit of the microgrid to satisfy the load demand, the power is bought from the grid. 7

Market operation  The objective function can be mathematically formulated as Minimize Cost  is the bid from the ith DG source  The objective function can be mathematically formulated as Minimize Cost  is the bid from the ith DG source 8 Subject to the constraint Nnumber of DG sources that offer bids for power production xactive power production of the ith DG source bvariable cost (fuel cost) chourly payback amount for the investment Xactive power bought from the grid Aopen market active power price Pgthe individual generations of DG sources

Multi Agent System - introduction  The main element of MAS is the agent, which is a physical entity that acts in the environment or a virtual one without physical existence.  Intelligent autonomous agents are software or hardware entities that must have three properties or characteristics : reactivity, proactiveness and social ability.  Agent is characterized by a certain behavior, this behavior is formed from the tendency to accomplish the goals set, satisfy objectives and use the resources, skills and services available.  The main element of MAS is the agent, which is a physical entity that acts in the environment or a virtual one without physical existence.  Intelligent autonomous agents are software or hardware entities that must have three properties or characteristics : reactivity, proactiveness and social ability.  Agent is characterized by a certain behavior, this behavior is formed from the tendency to accomplish the goals set, satisfy objectives and use the resources, skills and services available. 9

Multi Agent System - introduction  Each agent is independent, once it joins the system, the logic enables it to interface itself to the other existing agents. One common method for the interface is through a directory service whereby agents register themselves to a common directory and then self-organize their activities.  The ability for agents to be self-organized contributes to the scalability and robustness of the microgrids.  The implementation of MAS using JADE agent management platform which is a software development framework for developing MAS and applications.  Each agent is independent, once it joins the system, the logic enables it to interface itself to the other existing agents. One common method for the interface is through a directory service whereby agents register themselves to a common directory and then self-organize their activities.  The ability for agents to be self-organized contributes to the scalability and robustness of the microgrids.  The implementation of MAS using JADE agent management platform which is a software development framework for developing MAS and applications. 10

Multi Agent System - Agents  Four kinds of agents are developed : Main Grid : The main grid agent announces the buying and selling price to all the participants. Load agent : This agent knows the current demand and estimates the energy demand for the next 15 minutes. Generator agent : This agent adjusts the power flow depending on the market prices and on the outcome of the optimization routine. Every 15 minutes, he bids to the auctioneer in order to cover the estimated needs. Auctioneer : This agent has to coordinate, announce the beginning and end of a negotiation for a specific period and record final power exchanges between agents in every period.  Four kinds of agents are developed : Main Grid : The main grid agent announces the buying and selling price to all the participants. Load agent : This agent knows the current demand and estimates the energy demand for the next 15 minutes. Generator agent : This agent adjusts the power flow depending on the market prices and on the outcome of the optimization routine. Every 15 minutes, he bids to the auctioneer in order to cover the estimated needs. Auctioneer : This agent has to coordinate, announce the beginning and end of a negotiation for a specific period and record final power exchanges between agents in every period. 11 Grid MicroGrid Production Unit Consumption Unit Power Flow BP SP

Multi Agent System - AIS  The production settings of the regulated DGs and power exchange with the grid are determined using Economic Dispatch (ED). In the proposed work, ED is solved using an Artificial Immune System (AIS) based approach that uses clonal selection principle and evolutionary approach.  The main strength of the AIS is the fact that it is able to learn without any negative training examples. Being able to train an anomaly detection system using only experience of what is "normal“.  AIS is used in this application for determination of optimal generation of DG sources  The production settings of the regulated DGs and power exchange with the grid are determined using Economic Dispatch (ED). In the proposed work, ED is solved using an Artificial Immune System (AIS) based approach that uses clonal selection principle and evolutionary approach.  The main strength of the AIS is the fact that it is able to learn without any negative training examples. Being able to train an anomaly detection system using only experience of what is "normal“.  AIS is used in this application for determination of optimal generation of DG sources 12

 The network comprises three feeders : serving a primarily residential area, one industrial feeder serving a small workshop and one feeder with commercial consumers. 13 Implementation - LV network Test case LV network

Implementation – DGs sources  In order to consider realistic numbers, the electrical efficiency of the fuel-consuming units, as well as the depreciation time for their installation have been taken into account.  The bid coefficients assumed by the DG sources expressed in cents of Euro (Ect).  In order to consider realistic numbers, the electrical efficiency of the fuel-consuming units, as well as the depreciation time for their installation have been taken into account.  The bid coefficients assumed by the DG sources expressed in cents of Euro (Ect). 14

Implementation – Apx  Actual energy prices from the Amsterdam Power Exchange (ApX) for a day with rather volatile prices have been assumed to represent realistically the open market operation. 15

Results and Discussion Cost(Euro) Average price(Ect/kWh) kWh Base Case (without any DG) MAS Application to MicroGrid Difference with base case21.92 % 16

Results and Discussion  Between 9.00 and and during 21.00, the proposed methodology favors local DG production. 17 DG MTMicro turbine FCFuel cell PVPhotovoltaic WTWind turbine

Results and Discussion 18

Results and Discussion  The main objective in this application is the minimization of operating cost of the microgrid. the agents are required to cooperate so that they make efficient use of the power supplied by the various DG sources.  The auctioneer is responsible for monitoring the microgrid and optimizes the microgrid operation according to the open market prices.  Simulation studies demonstrate that the control agents manage the power of each energy source properly and the microgrid works reliably. Results show that the proposed agent based framework is effective for the control and management of microgrids.  The main objective in this application is the minimization of operating cost of the microgrid. the agents are required to cooperate so that they make efficient use of the power supplied by the various DG sources.  The auctioneer is responsible for monitoring the microgrid and optimizes the microgrid operation according to the open market prices.  Simulation studies demonstrate that the control agents manage the power of each energy source properly and the microgrid works reliably. Results show that the proposed agent based framework is effective for the control and management of microgrids. 19

Conclusion  This paper presented a new method for agent based optimum market operation of a microgrid using Multi Agent Systems combined with Artificial Immune System.  It is proven that under the test conditions simulated, it is economically beneficial to operate the microgrid leading to reduced energy prices for the consumers.  Adopting a decentralized approach allows every manufacturer of the DG unit to embed a programmable agent in the controller of his equipment. This would provide the required ‘plug and play’ capability of future DG units and loads.  This paper presented a new method for agent based optimum market operation of a microgrid using Multi Agent Systems combined with Artificial Immune System.  It is proven that under the test conditions simulated, it is economically beneficial to operate the microgrid leading to reduced energy prices for the consumers.  Adopting a decentralized approach allows every manufacturer of the DG unit to embed a programmable agent in the controller of his equipment. This would provide the required ‘plug and play’ capability of future DG units and loads. 20

Thanks for your listening. 21