Scalable flexibility control of distributed loads in a power grid

The technology described herein is generally directed towards a distributed optimization technology for the control of aggregation of distributed flexibility resource nodes that operates iteratively until a commanded power profile is produced by aggregated loads. The technology uses a distributed iterative solution in which each node solves a local optimization problem with local constraints and states, while using a global Lagrange multiplier that is based upon information from each other node. The global Lagrange multiplier is determined at an aggregation level using load-specific information that is obtained in a condensed form (e.g., a scalar) from each node at each iteration. The global Lagrange multiplier is broadcasted to the nodes for each new iteration. The technology provides an iterative, distributed solution to the network optimization problem of power tracking of aggregated loads.