Energy Management in Deregulated Power Market with Integration of Microgrid

Microgrid (MG) is defined as the collection of distributed energy sources and loads. It can operate in two modes: grid-connected mode or isolated mode. In grid-connected mode, MG is capable of sharing the load of the main grid by exchanging power with the main grid, whereas in isolated mode, it is disconnected with the utility grid in order to supply the local loads. The MG interconnection with the grid helps in reducing the congestion of transmission lines and transmission and distribution losses in the system. z with main grid will improve the reliability of the system. The operation of MG is managed by Microgrid Operator (MGO), whose function is to be in coordination with Independent System Operator (ISO) for the secure operation of the power system. The main problem in integrating MG with the main grid is the uncertainty of renewable energy sources (RES). Thus, in this work, the energy management problem is formulated, which considers all the problems related to MG integration. In this work, the IEEE 30 bus system acts as a main grid, which is connected to a MG. The MG is composed of RES and loads. The RES is based on solar and wind power plant. The uncertainty modelling of wind speed and solar irradiation is performed through Weibull and Beta probability distribution function. The objective of this study is to minimize the total generation cost by effectively utilizing the available RES. Microgrid (MG) is defined as the collection of distributed energy sources and loads. It can operate in two modes: grid-connected mode or isolated mode. In grid-connected mode, MG is capable of sharing the load of the main grid by exchanging power with the main grid, whereas in isolated mode, it is disconnected with the utility grid in order to supply the local loads. The uncertainty modelling of wind speed and solar irradiation is performed through Weibull and Beta probability distribution function. The objective of this study is to minimize the total generation cost by effectively utilizing the available renewable energy sources. The main issues in developing countries' move toward deregulation are continuously increasing demand and inefficient management. On the other hand, in developed countries, the main objective of reregulating their power sectors is to supply energy to consumers at cheaper prices.