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Definition of Market Performance Metrics to Enable Design and Valuation of Retail Transactive Energy System Markets

This paper defines market performance metrics that will be useful for the comparison of alternative retail transactive energy system (TES) designs. Our key focus is to define an appropriate set of market performance metrics such that the metrics are free of bias and should be applicable to all TES designs. First, we categorize market performance into five categories — market efficiency, market power, market volatility, market fairness, and market reliability. Next, metrics that can quantify TES market performance were developed for each market performance category. To ease implementation, each metric is documented with a uniform structure: metric overview, formulation, significance/interpretation, inputs-outputs, and implementation. The paper is focused on comprehensive discussion on theoretical reasoning and applicability of these metrics to retail TES markets. Since TES theory is in its early stages, these market performance metrics will form a base set for market performance evaluation of TES designs. In addition, these metrics will provide not only insights about the effectiveness of alternative TES designs, but also guidance to further improve retail TES market designs.

Transactive Energy System, Valuation, Retail Elect↗

Equity in Transactive Energy Systems

Transactive energy (TE) research primarily focuses on efficient and reliable operation of the electricity grid by using economic or market-based constructs to incorporate significant amounts of responsive, demand-side assets. This research examines the literature to evaluate if the design of TE demonstrations incorporates microeconomic principles of equity and fairness. We also consider the extent to which the design and implementation of TE affects energy inequities, and how these inequities could be addressed in future research with specific equity valuation metrics. The design of TE systems can impact energy equity across several dimensions and we provide recommendations for incorporating microeconomic principles of equity and fairness in TE system architecture as well as metrics for improving equitable outcomes in TE system design, implementation, and performance.

Energy, Transactive Energy, Economics↗

Transactive Energy Rationing in Islanded Electric Power Systems

Extreme weather events, many of which are climate change related, are occurring with increasing frequency and intensity and causing catastrophic outages. One of the major modern-day concerns of utilities is dealing with such extreme outages and consequently, its repercussions on the lives of people in society and social aspects. Traditionally, operators have been using rolling blackouts as a contingency plan to serve critical loads during such events when electricity supply is scarce. However, such blackouts practices are executed on a last-minute mandatory basis, depriving customers having low-capacity high priority loads (i.e. refrigeration, water, telecommunication, etc) that should also be serviced if at all possible. Historically, policymakers have often adopted quota-based regulatory actions or rationing for other commodities (such as gasoline, butter, sugar) to handle scarcity situations. Motivated from such quota based systems, our contribution presented in this work is an alternative transactive rationing mechanism that would provide some minimum level of service to all of the customers and serve the critical loads using market-based control during such scarcity-based contingencies. This is in contrast to the state-of-art TE mechanisms that allocate resources to customers solely based on their willingness-to-pay. The effectiveness of the proposed mechanism is demonstrated through simulation-based evaluation on two real-life use cases having feeder-level and microgrid-level configurations respectively. The simulation results clearly demonstrate the capability of the rationing scheme to serve customers’ high-priority loads through prolonged outages even during extreme scarcity scenarios.

42 ENGINEERING↗

Stability of Transactive Energy Market-Based Power Distribution System Under Data Integrity Attack

Future smart power distribution system with multiple active consumers and aggregators exchanging real-time electricity pricing and electricity consumption information over a communication network is prone to cyberattack. The goal of this paper is to understand the impact of attacks on pricing/load signals on the physical grid within a transactive energy market framework. First, this paper models the interaction between real-time electricity price and total energy demand in the form of a discrete time nonlinear autonomous dynamical system. Second, equilibrium electricity price and energy demand associated with this coupled dynamical system is derived and conditions for bounded input bounded output (BIBO) stability are identified. Third, a BIBO stable algorithm to design real-time electricity pricing scheme from a techno-economic perspective is developed. Finally, the impact of various levels of false data injection (FDI) attack on price of electricity, demand, and distribution system voltage is investigated. The proposed model is analyzed using simulations on the IEEE 69-bus test system and the impact of FDI attack on both electricity price/demand and distribution grid voltage is quantified. In conclusion, this paper shows that impact of FDI attack on electricity prices is more severe than an attack on electricity demand.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Investigation into Sizing Photovoltaic with Energy Storage for Off-Grid Transactive Scenarios

In this study, a novel sizing methodology was developed for centralized and interconnected operating strategies of transactive microgrids and several variables were investigated including starting month, initial charge of battery, load variability, unit cost of solar panels and energy storage, number of systems, climate, and required reliability to determine their effect on total cost. The centralized strategy improved cost by seven to ten percent compared to the isolated strategy in every case. The interconnected strategy saved an incremental amount of money consistently compared to the isolated standard. The number of connected systems was not a strong effect. It was thought that increasing the number of systems would increase the benefit of energy sharing. Climate zones studied (“Cold”; “Hot-Dry/Mixed Dry”; “Mixed Humid”; and “Cold but with lower solar irradiation”) showed a large variation on cost with the Hot-Dry/Mixed Dry being the least expensive and Cold, with lower solar irradiation being the most expensive. Cost sensitivity analysis was performed showing that the unit cost of solar has a greater effect on the total cost. Required reliability of power, measured in outage hours, exhibited an inverse relation with cost.

14 SOLAR ENERGY↗

Zero-Export Feeder Through Transactive Markets

This presentation summarizes how HELICS was used during a collaborative project with Energy Web Foundation and Exelon Corporation. The primary focus of the research was on designing a transactive energy market to accomplish zero export at the feeder head. The market was tested in a HELICS co-simulation framework and showed significant promise for eliminating back feed at the substation even under high renewable energy penetration levels.

blockchain↗

Transactive control of fast-acting demand response based on thermostatic loads in real-time retail electricity markets

Coordinated operation of distributed thermostatic loads such as heat pumps and air conditioners can reduce energy costs and prevents grid congestion, while maintaining room temperatures in the comfort range set by consumers. This paper furthers efforts towards enabling thermostatically controlled loads (TCLs) to participate in real-time retail electricity markets under a transactive control paradigm. An agent-based approach is used to develop an effective and low complexity demand response control scheme for TCLs. The proposed scheme adjusts aggregated thermostatic loads according to real-time grid conditions under both heating and cooling modes. Here, a case study is presented showing the method reduces consumer electricity costs by over 10% compared to uncoordinated operation.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

A comparison study on trading behavior and profit distribution in local energy transaction games

With the increasing integration of distributed energy resources, localized peer-to-peer energy transactions are receiving more attention since they could absorb more distributed renewables locally and stabilize the power grid. To better study the trading behavior and provide guidance for a viable local market design, different game-theoretical frameworks including cooperative and non-cooperative games are established and compared here. For the cooperative grand coalition, the maximum social welfare is guaranteed, the Shapley value and bargaining based approaches are implemented for further profit redistribution. It is shown that the asymmetrical bargaining power can be critical in the final payment clearing and it is equivalent to the Shapley value allocation if prosumers bargain based on their marginal contributions. Non-cooperative trading is formulated by using a Stackelberg bilevel model in which the upper level has the privilege in internal price setting. However, system optimum is not obtained due to competition, and the selfish leader could take away 89% of the collective benefit by price-gap based arbitraging. Aiming for a long-lasting trading market, a virtual benevolent leader and a uniform price structure in which purchase price equals selling price are tested. Experimental results indicate that maximum social welfare and a fairer profit allocation can be achieved with a uniform price structure, regardless of the selfish or benevolent attitude.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Evaluating the Feasibility of Transactive Approach for Voltage Management Using Inverters of a PV Plant

This article evaluates the feasibility of a double-auction-based Transactive Energy System (TES) for engaging the reactive power (Var) capability of inverters in a utility-scale pho¬tovoltaic (PV) plant for voltage management in distribution feed¬ers. In this approach, a PV plant owner (seller) provides Var supply curves in terms of price-quantity pairs consider¬ing the inverters’ P-Q capability, efficiency, opportunity cost for real power curtail¬ment, losses, etc. At the same time, the utility (buyer) proposes Var demand curves in price-quantity pairs exhibiting the marginal price of Var. Then, market clearing points are obtained from the intersection points of supply and demand curves which are then used to create Var dispatch sig-nals from the PV plant. To conduct a fea¬sibility study of this approach, an Australian distribution network with a utility-scale PV plant (capacity 3.275 MWP) is modeled in RSCAD and simu¬lated in real-time on MATLAB, RSCAD-RTDS co-simulation platform using real historical data. Consid¬ering a use case, namely, conservation voltage reduction (CVR), the operational feasibility along with cost-benefit analysis is demonstrated in software-in-the-loop (SIL) and hardware-in-the-loop (HIL) platform. Another use case, exploring the benefit from tap-change reduction of step-voltage-regulator, is investigated. These studies explore further use cases, e.g., PV hosting capacity, network reconfiguration, etc., to be incorporated in TES for experiencing substantial economic benefits.

Alam, Mollah Rezaul↗

DAX1 suppresses FXR transactivity as a novel co-repressor

Highlights: {yields} DAX1 is co-localized with FXR and interacts with FXR. {yields} DAX1 acts as a negative regulator of FXR. {yields} Three LXXLL motifs in the N-terminus of DAX1 were required. {yields} DAX1 suppresses FXR transactivation by competing with co-activators. -- Abstract: Bile acid receptor FXR (farnesoid X receptor) is a key regulator of hepatic bile acid, glucose and lipid homeostasis through regulation of numerous genes involved in the process of bile acid, triglyceride and glucose metabolism. DAX1 (dosage-sensitive sex reversal adrenal hypoplasia congenital critical region on X chromosome, gene 1) is an atypical member of the nuclear receptor family due to lack of classical DNA-binding domains and acts primarily as a co-repressor of many nuclear receptors. Here, we demonstrated that DAX1 is co-localized with FXR in the nucleus and acted as a negative regulator of FXR through a physical interaction with FXR. Our study showed that over-expression of DAX1 down-regulated the expression of FXR target genes, whereas knockdown of DAX1 led to their up-regulation. Furthermore, three LXXLL motifs in the N-terminus of DAX1 were required for the full repression of FXR transactivation. In addition, our study characterized that DAX1 suppresses FXR transactivation via competing with co-activators such as SRC-1 and PGC-1{alpha}. In conclusion, DAX1 acts as a co-repressor to negatively modulate FXR transactivity.

60 APPLIED LIFE SCIENCES↗

Transactive control for connected homes and neighbourhoods

Smart in-home devices, if integrated with each other and with the electric grid, can offer a disruptive solution to managing energy supply and demand. Such transactive energy networks could turn each home from a passive energy consumer into an intelligent, active energy storage and service provider for the future utility grid.

Wang, Na↗

Transactional network: Improving efficiency and enabling grid services for buildings

This paper describes the transactional network concept, the platform and two example agents/applications within VOLTTRON™ that improve operational efficiency and enable grid services for packaged air conditioners and heat pumps (RTUs). It also describes the results from testing the concept on some demonstration sites.

Katipamula, Srinivas↗

An Introduction to the Federated Architecture for Secure and Transactive Distributed Energy Management Solutions (FAST-DERMS)

Deployment and capability of distributed energy resources (DER) in power systems is growing rapidly. These resources present an opportunity for low-cost provision of energy and grid services. The Federal Energy Regulatory Commission recently provided rulings to enable market participation of these distribution-connected resources, but the prevailing strategies for their management may not scale well to meet future needs. This paper introduces the Federated Architecture for Secure and Transactive Distributed Energy Management Solutions (FAST-DERMS) which was designed to address this need. In it we describe the architectural features of the approach, and a reference controls implementation employing a hierarchical coordination that includes stochastic optimization, model predictive control, and a simple real-time management scheme. Sample results from simulation show firm transmission-level service provision measured at the distribution substation.

grid architecture↗

Residential Transactive Control Demonstration

Arguably the most exciting aspect of the smart grid vision is the full participation of end-use resources with all forms of generation and energy storage in the reliable and efficient operation of an electric power system. Engaging all of these resources in a collaborative manner that respects the objectives of each resource, is sensitive to the system and local constraints of electricity flow, and scales to the large number of devices and systems participating is a grand challenge. Distributed decision-making system approaches have been presented and experimentation is underway. This paper reports on the preliminary findings of a residential demand response demonstration that uses the bidding transactions of supply and end-use air conditioning resources communicating with a real-time, 5 minute market to balance the various needs of the participants on a distribution feeder. The nature of the demonstration, the value streams being explored, and the operational scenarios implemented to characterize the system response are summarized along with preliminary findings.

demand response, dynamic pricing, distributed reso↗

Hierarchical Transactive Control of Flexible Building Loads Under Distribution LMP

With grid modernization efforts, future distribution networks, which consist of various distributed generators and flexible loads, will be more flexible and active. All new network components of distributed energy resources (DERs) drive and enable the transition towards a market-based distribution net-work that seeks the optimal allocation of all DERs. To address challenges associated with DERs, one promising solution is to utilize demand-side flexibility of building loads facilitated by demand response (DR) programs and provide ancillary grid services through distribution-level markets. Under this new paradigm, this paper proposes an efficient DR management strategy incorporating emerging price signals of distribution markets, i.e., distribution locational marginal price (DLMP), based on a hierarchical transactive control approach. The proposed approach establishes a two-layer decision-making framework; the upper layer formulates a bilevel model to obtain an optimal demand response (ODR) under DLMP, and the lower layer employs model-free control to dispatch the (aggregated) ODR to individual end users. Numerical case studies using a modified IEEE 33 test network are performed to verify the effectiveness of the proposed approach; load shifting and peak shaving for the distribution system operator and payments’ reduction for end users while maintaining their comfort.

Park, Byungkwon↗

Hierarchical Model-Free Transactive Control of Residential Building Loads: An Actual Deployment

The transformation of electricity systems into more sustainable configurations brought some new challenges. The uncertain, intermittent, and variable nature of renewable energy sources require a significant amount of load demand flexibility, in which grid-interactive buildings (GEBs) are important flexible assets for electricity systems. In this regard, many demand response (DR) tools have been developed to harness this demand flexibility. However, such tools are mostly simulation-based or deal with a single load, which may not be sufficient to demonstrate their effectiveness. Towards this end, this paper presents a real-world field implementation and testing of a hierarchical model-free transactive DR control approach on actual GEBs. The control implementation incorporates elements of virtual battery, game theory, and model-free control mechanisms. The proposed approach was tested using a total of five GEBs, each having three zones. The results show that the proposed approach can mostly achieve all intended objectives, including flexibility estimation, peak load reduction, power tracking, and controlling GEBs while maintaining occupants’ comfort.

Amasyali, Kadir↗