Modeling the Retailer in Optimal and Resilient Capacity Planning of Smart Grids, Considering the Demand Side Management Resources and Uncertainties

Ehsan Khoshkerdar ¹ (Department of Electrical Engineering- Kermanshah Branch, Islamic Azad University, Kermanshah, Iran)
Abdollah Rastgou ² (Department of Electrical Engineering- Kermanshah Branch, Islamic Azad University, Kermanshah, Iran)
Saeed Kharrati ³ (Department of Electrical Engineering- Kermanshah Branch, Islamic Azad University, Kermanshah, Iran)

Submited date : 2023-05-15 accepted date : 2023-09-06

Keywords: smart grid, resiliency, Retailer, Capacity modeling,

Abstract :

Every year, many blackouts occur all over the world as a result of natural disasters which cause many economic losses and impose a lot of costs on electricity network in order to restore the network. Therefore, definition of resilience concept and efforts for the resilient performance of power grids intensified. One of the important things in the design of resilient power networks is to provide the required capacity of the system by considering the issue of resilience, which is considered in this paper. Considering the economic reasons, the presence of more capacity providers will create competition and improve the efficiency of the market, so demand-side management resources should also be used in the capacity market. Considering that the stable and efficient presence of demand-side management resources in the capacity market is possible only with the participation of load supplying companies, which are considered retailers in this paper, the parameters affecting their behavior and how they interact with the two market segments (market management and consumers) should be modeled on both sides of the market. Therefore, in this paper, it has been modeled and evaluated how the retailer's participation in the capacity market is and to what extent it can be effective in reducing reliability and resilience costs in the capacity market. It is natural that the retailer's profit in this business should also be calculated and it should be ensured that the retailer will be present in this market with an acceptable profit so that the network will also benefit from his presence. Numerical results have shown that using the retailer as a provider of demand-side resources in the capacity market will reduce outage costs by 1.5%, equivalent to saving $297,638 per year. Meanwhile, the retailer will also benefit from this business on an average of $3716 per day. 

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