Optimal Scheduling For Campus Prosumer Microgrid Considering Price Based Demand Response
Optimal Scheduling For Campus Prosumer Microgrid Considering Price Based Demand Response
Optimal Scheduling For Campus Prosumer Microgrid Considering Price Based Demand Response
fully edited. Content may change prior to final publication. Citation information: DOI 10.1109/ACCESS.2020.2987915, IEEE Access
Date of publication xxxx 00, 0000, date of current version xxxx 00, 0000.
Digital Object Identifier 10.1109/ACCESS.2017.Doi Number
ABSTRACT Existing energy systems face problems such as depleting fossil fuels, rising energy prices and
greenhouse gas (GHG) emissions which seriously affect the comfort and affordability of energy for large-sized
commercial customers. These problems may be mitigated by the optimal scheduling of distributed generators (DGs)
and demand response (DR) policies in the distribution system. The focus of this paper is to propose an energy
management system (EMS) strategy for an institutional microgrid (µG) to reduce its operational cost and increase its
self-consumption from green DGs. For this purpose, a real-time university campus has been considered that is
currently feeding its load from the national grid only. However, under the proposed scenario, it contains building
owned solar photovoltaic (PV) panels as non-dispatchable DG and diesel generator as dispatchable DG along with the
energy storage system (ESS) to cope up with the intermittency of solar irradiance and high operational cost of grid
energy. The resulting linear mathematical problem has been mapped in mixed-integer linear programming (MILP)
and simulated in MATLAB. Simulations show that the proposed EMS model reduces the cost of grid electricity by
35% and 29% for summer and winter seasons respectively, while per day reductions in GHG emissions are 750.46 kg
and 730.68 kg for the respective seasons. The effect of a half-sized PV installation on energy consumption cost and
carbon emissions is also observed. Significant economic and environmental benefits as compared to the existing case
are enticing to the campus owners to invest in DG and large-scale energy storage installation.
INDEX TERMS Batteries, campus microgrid, distributed generation, energy storage system, energy
management system, prosumer market, renewable energy resources, smart grid
1
VOLUME XX, 2020
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𝑝𝑡𝑑𝑐ℎ Discharging power of storage system cost and network overloading [5]. The mentioned
(kW) benefits are more pronounced for µGs with heavy
𝑏𝑎𝑡 loads.
𝑝𝑐ℎ,𝑚𝑎𝑥 Maximum charging power of storage
system (kW) Institutional buildings are one of the heavy load µGs
𝑏𝑎𝑡
𝑝𝑑𝑐ℎ,𝑚𝑎𝑥 Maximum discharging power of which fall under the class of mixed load consumers
storage system (kW) due to the diverse nature of their loads. Due to the
𝑝𝑡𝑙 Load demand of prosumer (kW) presence of onsite generation resources, these
𝑑𝑔 buildings can export their surplus power to the grid
𝑝𝑡 Output power of diesel generator network acting as a prosumer [6]. Similarly, they can
𝑔
𝑝𝑡 Grid power (kW) import energy from the grid in heavy load conditions
𝑔
𝑝𝑚𝑎𝑥 Maximum exchange power limit of when onsite DGs and storages are insufficient to meet
grid (kW) the total demand [7]. Effective participation of such
𝑔
𝑝𝑚𝑖𝑛 Minimum exchange power limit of µGs in grid operations not only reduces their
grid (kW) operational energy cost but also supports the
𝑡 Time interval (Hour) distribution network. Grid operators also offer various
𝑇𝐺 Capacity of diesel generator incentive and price-based DR programs to attract the
𝜇𝑡𝑐ℎ /𝜇𝑡𝑑𝑐ℎ Storage charging/discharging integers active participation of such large scale consumers in
𝜆𝑡 Electricity rates ($/kWh) electricity markets [8]. Energy management strategy
𝜇 Mean of solar irradiance through optimal dispatch of available resources meet
𝜎 Standard deviation of solar irradiance their demand at reduced cost and ensures their
𝜂𝑝𝑣 Solar panel efficiency effective participation to support grid operations [9].
𝛽𝑝𝑣 Solar panel area This paper focuses on the development of an EMS
𝛼 Fuel curve intercept of diesel for a prosumer µG having an energy storage facility
generator and onsite DGs. The proposed EMS can optimally
𝛽 Fuel curve slope of diesel generator handle the bidirectional flow of energy between µG
and utility network, and schedules the charging and
I. INTRODUCTION discharging patterns of energy storage to minimize the
Energy systems have been facing problems such as energy cost. For analysis, the actual load of a real
inflating consumption cost, greenhouse gas (GHG) campus (U.E.T, Taxila) has been considered.
emission, network overloading, etc. The conventional Currently, the µG of the considered campus has a grid
grid may not resolve these problems, however, the connection from the local distribution company named
emerging smart grid comprising of the smart Islamabad Electric Supply Company (IESCO) along
distribution system equipped with distributed with a backup diesel generator. The economic and
generators (DGs) and energy storage has the potential environmental effects of photovoltaic based energy
to overcome these issues considering resource production and energy storage in the proposed EMS
scheduling through demand response (DR) programs. are also analyzed.
A microgrid (µG) is the combination of organized
II. RELATED WORK
loads, onsite DGs and storage systems having defined
Microgrid facilitates bi-directional energy exchange
electrical boundaries [1]. It may operate either in grid-
with a national power pool or may operate
connected mode or in islanded mode [2]. The
independently in islanded mode possessing enough
emerging grid is well monitored and has the
onsite generation. For this purpose, researchers have
capabilities of self-healing, remote control and
already researched as presented below.
pervasive control due to the installation of sensors
A µG model comprising of diesel engines,
throughout [3].
combined heat power (CHP), solar panel, and battery
The smart grid offers various opportunities for
for different cities of Pakistan was presented in [10]
conservation and renewable energy integration to
using HOMER Pro software. The objectives were to
prosumer µGs by incorporating energy management
reduce net cost, energy generation cost and annual
systems (EMSs). Such energy management strategies
GHG emissions while maximizing annual waste heat
require secure communication between prosumer and
recovery from thermal units and grid sales. The
utility for the operation of intelligent control devices
analysis had been carried out in grid-connected and
[4]. Since the distribution network consists of a
islanded modes. It was investigated that every city has
collection of µGs where each µG acts as an
one unique optimum objective function, therefore,
independent distribution node, therefore, µGs
decision making rests upon the competent authority to
equipped with onsite DGs, energy storage and DR
decide optimal city in the light of their objective. The
programs that can play a key role by reducing energy
analysis revealed that Lahore has the lowest GHG
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emissions of 1000.214 tons/year while the Quetta has owned battery systems. This work focused on four
the highest grid sales of 8,322,268 kWh/year among services: energy arbitrage, frequency regulation,
different cities. Rehman et al. [11] devised the µG investment deferral, and energy reserves. Initially,
model for residential customers having PV unit, each service was individually analyzed to calculate the
battery, national grid and critical and responsive loads obtained profits for a private owner. Then, an analysis
while considering grid reliability. The viability of the using different combinations of services was also
proposed system was validated in terms of net present carried out using 2015 data of the day-ahead market of
cost and the Levelized cost of energy (LCOE) using CAISO. Results indicated that frequency regulation
HOMER Pro software. The cost of energy was found earned the highest revenue of $121,265 among
to be 0.135$/kWh with no grid outages. The effects of individual services while energy arbitrage had the
the grid outages and fluctuating solar irradiance were lowest earning of $18,983. When all the parameters
also analyzed. The best configuration for a household were analyzed together, the revenue obtained was
was found to be 2 kW PV capacity, 1200 Ah of battery $221,817. Zhang and S.G. [15] presented the campus
storage, and a power converter of 1 kW. Under this µG testbed project of Georgia Tech. The proposed
setup, the capital, replacement, and operation & model was analyzed on the OpenDSS platform
maintenance costs of the system were $7610, $2833, considering a group of 200 buildings and 400 net
and $6522 respectively. In [12], the authors devised a meters. The advanced data management system was
PV-storage µG scheduling framework taking into utilized to handle a large amount of distributed system
account the battery running and degradation costs. data. The demand response strategies were
The mixed-integer linear programming (MILP) model incorporated to enhance building-to-grid interaction.
was proposed and validated by comparing the results Future requirements of campus µG such as generation
with existing literature. The proposed system expansion planning, etc. were also studied.
contained a PV plant and a battery energy storage Several researchers have been working on the
system. The model reduced the energy cost, peak optimal scheduling of energy management of a µG.
demand violation penalty, and battery degradation Yu Zheng et al. presented the battery energy storage
cost. Furthermore, two practical issues regarding the modeling for DISCOs profit enhancement [16]. The
minimization of irradiance forecast error and optimal Natural Aggregation (NA) and Conic relaxation
usage of the battery through real-time control schemes techniques were implemented for bidding strategy and
(RTCS) were addressed. Flexible assignment method cost reduction. The DG uncertainties were considered
(FAM) with RTCS2 was applied for state of charge for error minimization and the proposed model
(SOC) management and cost was reduced from reduced transaction risk. Two-layered operation
36,286,370 KRW to 34,354,995 KRW. module was presented for real-time and day-ahead
In [13], the authors presented a grid load reduction optimization. A sensitivity analysis was performed to
model for residential applications considering the grid investigate the model’s effectiveness. Different types
availability using linear programming in MATLAB. of case studies were analyzed and tested on IEEE 15
Low-cost hardware of PV-storage was presented by bus system with and without the integration of the
considering various load shedding hours through battery energy storage system (BESS). Integration of
online optimization techniques while ignoring the BESS reduced the energy cost from $448.49 to
random presence of DGs. Different scenarios of load $433.63 in the day-ahead (DA) market. However,
shedding were analyzed, and it was deduced that 8 financial feasibility was ignored in the proposed
hours load shedding could save up to 1000kWh for a model.
typical household of 1200W. Furthermore, the authors Luka et al. [17] analyzed the hypothetical factory
found that a scenario with 4 hours of load shedding model with a factory acting as prosumer. The multi-
reduces the monthly consumption cost by 16%. Li et objective model was developed to determine the value
al. [2] presented a probabilistic spinning reserve of optimal energy exchange considering conflicting
solution for isolated µG using chance constraint costs (operating and investment costs). The linear
programming. The proposed problem was converted programming technique was used to solve the
into a MILP based model and solved in GAMS using proposed system on octave 2015 and the Pareto fronts
CPLEX solver. The objective of the system was to technique was applied to find the optimal values of
reduce the cost and computational time and to present conflicting parameters. The market-clearing price
a trade-off strategy for the cost and reliability of µG. (MCP) was taken as input and was examined in five
The proposed method reduced the cost from $396.5 to scenarios. The proposed technique significantly
$394.3 while computational time was reduced from reduced the operational and investment cost of the
673.5s to 2s as compared to a hybrid intelligent prosumer. In [18], the authors scheduled multiple µGs
algorithm (HIA). Authors of ref. [14] devised an to form a virtual power plant (VPP) using a binary
optimal model for multiple benefits of privately- backtracking algorithm (BBSA). The sustainable
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energy sources were integrated by an optimal analyzed with two subcases in each season to find the
controller and the proposed model was validated on total operational cost of energy. A cost reduction from
IEEE 14 bus system. The fitness function of the $1092.7 to $955.9 was observed in summer, while the
proposed model was much better as compared to reduction in winter was observed from $1328.6 to
binary particle swarm optimization. Reductions in $1105.8. Li et al. [23] presented the DA scheduling of
operating cost and power losses while enhancing isolated µG for cost minimization considering the
reliability were found. The savings by the proposed EV battery station. The proposed bi-level model
method were increased from 187926.386 to reduced the cost and maximized the profits
222246.9262 RM (Malaysian Ringgit). Day-ahead respectively. Hybrid heuristic (Jaya) and analytic
(DA) scheduling of µG resources to minimize the (branch and bound) algorithm were implemented to
operational cost and peak load was presented in [19]. solve the system. The uncertainties of wind turbine
The day ahead load and variable prices were (WT), photovoltaic (PV) and load were modelled
forecasted using the neural network for a near-optimal using various distribution functions. The obtained
solution. The proposed mixed-integer linear results were compared with the other methods and
programming (MILP) model was solved using the significant reduction in cost was found. Case studies
CPLEX solver in a mathematical programming were carried out to analyze the effect of demand
language (AMPL) platform. The energy storage response (DR) but storage life was ignored. The
system (ESS) life cycles were also reduced to increase improvements in cost and computational time were
the storage’s life. Detailed case studies were analyzed from $183.16 to $176.43 and 364.7s to 37.5s
with different ESS scenarios and the operational cost respectively, while the profit though proposed
was reduced from $89.58 to $41.21. approach was increased from $140.23 to $147.15 as
Dahraie et al. [20] devised a two-stage stochastic compared to HIA.
model for the simultaneous benefits supply and Chen and Trifkovic [24] modeled µG scheduling
demand entities considering the frequency security using the Kelly criterion. The uncertainty of different
provision. The proposed model was solved by CPLEX parameters such as load, renewable resources, and
solver in GAMS and significant outcomes in the prices were considered to remove the dependency on
electricity market were found due to the participation meteorological data. The proposed model maximized
of customers. The residential load model was the profit using artificial neural network (ANN)
considered using the price-based demand response considering to tackle the uncertainties in the system.
(DR) strategies. The cost was reduced from $835.52 to For the validation and efficacy of the proposed model,
$773.75 in the proposed model using the incentive- case studies were carried out for different pricing and
based DR. Sattarpour et al. [21] scheduled energy level of volatility scenarios. In [25], the authors
resources and appliances in a smart home considering presented the design of an EMS for the prosumer-
the ESS and PHEV. The proposed bi-objective linear based system. Different types of protocols were
model was solved using CPLEX 12.4 solver in GAMS discussed for various applications of market and
to reduce the payment cost and load deviation. Three energy scenarios. The OASIS based protocols were
scenarios were analyzed, where each scenario was implemented for different services considering the
containing two cases. It was found that the reduction practical architecture of the system, communication
of cost might be theoretically possible but technically protocols and interaction between virtual end node
it might not be suitable for µG operator (MGO). In the (prosumers). Raviraj et al. [26] devised the prosumer
first case, authors only considered the cost, whereas in scheduling considering the forecast error. The
the second case, load variations were also analyzed stochastic MILP was implemented to solve the
with the cost. The presence of PHEV and ESS was different types of scenarios. The forecast and resource-
employed for valley filling and peak shaving purposes. based scheduling were presented for controllable and
Load profile deviation (LPD) was minimized from uncontrollable loads. Two-stage stochastic control
25.34 kW to 14.66 kW without compromising the was introduced for the prosumer with energy storage
operational cost. Yang et al. [22] scheduled the to compensate for the uncertainties.
generation of multi-energy resources in a hub. The In [27], the energy sharing provider (ESP) strategy
proposed mixed-integer programming (MIP) model was presented for the community of prosumers. The
was solved in GAMS considering the time of use proposed model was useful for both customers and
(TOU) pricing scheme. Randomness in DGs and load utility and was solved using stochastic game theory.
with different confidence levels were considered while The results of the proposed work were compared with
reducing the cost and increasing the efficiency of the Cournot model for validation. The consumption
energy utilization. The analysis inferred the increase and production models of prosumers were discussed
in operational cost with an increase in confidence considering various aspects of metering types. Hao
level. The results of summer and winter seasons were and Coe [28] devised the scheduling model of BESS
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for DR issues. The proposed model reduced the advantages, BESS based on Li-ion batteries is
operational cost and uncertainty in DR deployment. considered in this work.
The total cost was reduced from $85.10 to $42.72 with Most of the works related to EMS of μGs have
DR participation. considered PV, ESS, and optimal scheduling. Some
Energy storage has found diverse applications in the researchers solely focused on the financial feasibility
management of μGs and utility grids. Among of PV and ESS integration in μGs, whereas others had
different applications, frequency regulation [31], merely calculated cost savings due to PV integration
voltage regulation [32], [33], energy arbitrage [34], and optimally scheduled ESS. Economic analysis
off-grid system applications [35], distribution system calculating LCOE while considering energy exchange
deferral [36], demand-side management [34], [37], with grid, battery based-ESS degradation cost, PV
power system reliability [38], peak reductions [39] etc. uncertainties, and DR simultaneously had been rarely
are some of its main contributions in energy systems. investigated as shown in Table 1. This research
Many types of ESSs such as BESS, compressed-air, considers all these research components
flywheels, ultracapacitors, etc. are available [40]. Li- simultaneously in a single work and presents a more
ion batteries are getting rising adoption as BESS due comprehensive model for the EMS of an institutional
to more reliability, high energy/power density, low µG by optimal scheduling of the proposed ESS and
self-discharge, and long lifespan energy storage uncertainties of proposed PV installations using its
system [41]. The optimal charging/discharging of ESS actual load data of summer and winter in a grid
can further enhance its efficiency and life. Due to these exchange environment.
Energy
ESS’s Optimal Economic Battery GHG
Reference. PV ESS Exchange with DR
Scheduling Analysis* Degradation Emissions
Grid
[2] ✓ ✓ ✓ ✓ _ _ _ _
[6] _ ✓ ✓ _ ✓ _ _ ✓
[8] ✓ ✓ ✓ ✓ ✓ ✓ _ _
[9] ✓ ✓ ✓ ✓ ✓ _ _ _
[10] ✓ ✓ ✓ ✓ _ _ ✓ _
[11] ✓ ✓ ✓ ✓ _ _ ✓ _
[12] ✓ ✓ ✓ _ _ ✓ _ _
[13] ✓ ✓ ✓ _ _ _ _ _
[14] _ ✓ _ ✓ ✓ _ _ _
[15] ✓ ✓ _ _ _ _ _ _
[31] ✓ _ ✓ ✓ _ _ _ ✓
[33] ✓ ✓ ✓ ✓ _ ✓ _ _
[37] _ ✓ ✓ _ _ _ _ _
[42] ✓ ✓ ✓ _ _ _ _ _
[43] ✓ ✓ ✓ _ ✓ ✓ _ _
Proposed Model ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓
* Economic analysis is assumed to be done in works considering some combination of installation cost, maintenance and operation cost, Levelized cost of energy,
payback period, net present cost, internal rate of return, etc. in their mathematical model. Works merely stating cost savings due to the integration of PV and scheduled
ESS are not included in this category.
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of the charge (BSOC) in ESS at any interval 𝑡 𝐵𝑆𝑂𝐶𝑚𝑖𝑛 ≤ 𝐵𝑆𝑂𝐶𝑡 ≤ 𝐵𝑆𝑂𝐶𝑚𝑎𝑥 (13)
‘ 𝐵𝑆𝑂𝐶𝑡 ’ is dependent on its previous state 𝐵𝑆𝑂𝐶𝑇 = 𝐵𝑆𝑂𝐶0 (14)
(𝐵𝑆𝑂𝐶𝑡−1 ) which is incorporated in equation (12). The battery output power, 𝑝𝑡𝑏𝑎𝑡 is already added in
To avoid overcharging and complete discharging of equality constraint defined by equation (6) to
ESS, upper and lower limits of BSOC are defined by schedule its participation in EMS. The negative and
𝐵𝑆𝑂𝐶𝑚𝑎𝑥 and 𝐵𝑆𝑂𝐶𝑚𝑖𝑛 respectively in expression positive values of the 𝑝𝑡𝑏𝑎𝑡 shows the discharging
(13). It is assumed that the state of battery charge at and charging of the ESS respectively. Charging or
the end of the day (𝐵𝑆𝑂𝐶𝑇 ) is equal to its initial state discharging mode of the ESS in any interval ‘𝑡’ is
of charge (𝐵𝑆𝑂𝐶0 ) that occurred at the beginning of represented by two integer variables 𝑢𝑡𝑐ℎ and 𝑢𝑡𝑑𝑐ℎ
the day as given in equation (14). respectively. The binary variables used in
expressions (9)-(11) cannot be ‘1’ simultaneously to
𝐵𝑆𝑂𝐶𝑡−1 −𝐵𝑆𝑂𝐶𝑚𝑎𝑥 avoid charging and discharging of the BESS at the
𝐶 𝐸𝑆 ≤ 𝑝𝑡𝑏𝑎𝑡 (7)
100
same time. A value equal to ‘1’ for any of these
𝐵𝑆𝑂𝐶𝑡−1 −𝐵𝑆𝑂𝐶𝑚𝑖𝑛 variables represents the activation of the associated
𝑝𝑡𝑏𝑎𝑡 ≤ 𝐶 𝐸𝑆 (8)
100
mode and vice versa.
𝑏𝑎𝑡
0≤ 𝜂𝑐ℎ 𝑝𝑡𝑐ℎ ≤ 𝑢𝑡𝑐ℎ 𝑝𝑐ℎ,𝑚𝑎𝑥 (9)
𝑝𝑡𝑑𝑐ℎ 𝑏𝑎𝑡
0≤ ≤ 𝑢𝑡𝑑𝑐ℎ 𝑝𝑑𝑐ℎ,𝑚𝑎𝑥 (10)
𝜂𝑑𝑐ℎ
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The gradient of storage output power can be The import from the grid and export to the grid
controlled as follows: energy is represented by positive and negative values
𝑔
of 𝑝𝑡 respectively.
|𝑝𝑡𝑏𝑎𝑡 − 𝑝𝑡+1
𝑏𝑎𝑡
| ≤ ∆𝑝𝑏𝑎𝑡 (15)
H. PROBABILISTIC PV MODEL
F. LIMITATIONS OF GRID AND DIESEL The solar PV generation is highly intermittent and
GENERATOR dependent on the weather and solar irradiance. In
Since utilities install their components according to stochastic conditions, one-year data is analyzed.
load demand, they always make a maximum demand This paper uses an already developed model of solar
contract with the consumer. Any demand exceeding irradiance [46]. The parameters are calculated for
this contractual demand will result in a penalty or loss probability density function (PDF) of normal
of connection. Similarly, a diesel generator is also distribution. Latin hypercube sampling technique is
incapable to meet the load exceeding its rated used which generates 365 scenarios and in 24 hours
capacity. These power supply limitations of grid [47]. To reduce the computational burden, the Fast
connection and the diesel generator are considered forward method is used to reduce the scenarios to 40
using expressions (16)-(17). as given in [48]. The normal distribution function [49]
given in expression (19) is used to model the
𝑔 𝑔 𝑔
𝑝𝑚𝑖𝑛 ≤ 𝑝𝑡 ≤ 𝑝𝑚𝑎𝑥 (16) uncertainty associated with solar irradiance.
𝑑𝑔 𝑑𝑔 𝑑𝑔
𝑝𝑚𝑖𝑛 ≤ 𝑝𝑡 ≤ 𝑝𝑚𝑎𝑥 (17) (𝐼−𝜇)2
1 −
𝑓(𝐼) = 𝑒 2𝜎2 (19)
𝜎√2𝜋
𝑝𝑡 = 𝑝𝑣,𝑗 𝛽𝑝𝑣 𝐼
𝑝𝑣
G. ENERGY EXCHANGE WITH GRID: (20)
PROSUMER OPERATION
𝑔
The net energy (𝐸𝑛𝑒𝑡 ) exchanged with the grid where 𝑝𝑣,𝑗 , 𝛽𝑝𝑣 and 𝐼 are solar panel efficiency
during a day is as follows: (17%), solar panel area (m2) and solar irradiance
(kW/m2) respectively. 𝜇 and 𝜎 denote the mean and
𝑔
𝑔
𝐸𝑛𝑒𝑡 = ∑𝑡=24
𝑡=1 𝑝𝑡 ×ℎ (18) standard deviation of the normal distribution
respectively. Equation (20) shows the solar output
𝑝𝑣
power 𝑝𝑡 that mainly depends on the irradiance of
VOLUME XX, 2020
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the specific area. The values of the mean and the optimization problem. MILP is a popular global
standard deviation of the solar irradiance pattern for optimization technique for solving different types of
the region Taxila, where the considered campus μG linear optimization problems related to scheduling,
is situated, are given in Figure 3. The annual mean marketing, production schedules, etc. [54].
daily solar global horizontal insolation for Taxila Furthermore, MILP gives global optimal results as
having latitude “ 33.7463° N ” and longitude “ compared to other metaheuristic techniques that give
72.8397° E ” is 5.30 kWh/m /day [50]. 2
suboptimal results. Therefore, MILP is widely used
for the optimization of building EMSs [55]. The basic
0.7 structure of MILP is as follows:
0.6 min 𝑓 𝑡 𝑥 (22)
Irradiance (kW/m2)
𝑥
0.5 Subject to
0.4
𝐴. 𝑥 ≤ 𝑏
0.3 { 𝐴𝑒𝑞 . 𝑥 = 𝑏𝑒𝑞 (23)
0.2 𝑙𝑏 ≤ 𝑥 ≤ 𝑢𝑏
0.1
𝑤ℎ𝑒𝑟𝑒 𝑥(𝑖𝑛𝑡𝑐𝑜𝑛)𝑎𝑟𝑒 𝑖𝑛𝑡𝑒𝑔𝑒𝑟𝑠
0
1 3 5 7 9 11 13 15 17 19 21 23 In equation (23), 𝑥 (𝑖ntcon), 𝑥, 𝑏 ,𝑏𝑒𝑞 ,𝑓 ,𝑙𝑏 and 𝑢𝑏
Time (Hours) are vectors where 𝐴𝑒𝑞 , 𝐴 are matrices.
Mean values of solar irradiance Figure 4 shows the general flowchart that controls the
Standard deviation pattern
proposed µG of the campus. At the initial stage, all
FIGURE 3. Mean and standard deviation curves the input data required by the program for the optimal
scheduling of any day are loaded one hour before the
I. LEVELIZED COST OF ENERGY arrival of that day. This data contains load pattern,
To have a fair economic analysis, the Levelized cost forecasted temperature, forecasted irradiance, TOU
of energy (LCOE) is considered in different tariff information, the initial condition of ESS and its
scenarios. Levelized cost of energy (LCOE) can be related parameters, etc. The simulations of the
defined as the ratio of the total cost ($) of the system proposed model are based on the daily upfront using
installation to the produced or processed energy the interval duration of one-hour. The proposed
(kWh). LCOE from a particular energy source or algorithm is solved in MATLAB R2017a
storage is represented in $/kWh. It covers all the environment on Intel (R) core i5-4670 @3.4 GHz
associated costs such as capital cost, installation cost, processor with 4GB RAM.
operation and maintenance costs, etc. It can be
regarded as the minimum cost at which electricity IV. RESULTS AND DISCUSSION
must be sold out to achieve break-even over the The proposed model described in Section III is
lifetime of the generation or storage component [51]. applied to smart campus prosumer microgrid
Mathematically, LCOE can be expressed as: (SCPM) situated in the province of Punjab. The
𝐿𝑖𝑓𝑒𝑐𝑦𝑐𝑙𝑒 𝑐𝑜𝑠𝑡 ($) campus has six faculties, fourteen departments, and
𝐿𝐶𝑂𝐸 = (21)
𝐿𝑖𝑓𝑒 𝑡𝑖𝑚𝑒 𝑒𝑛𝑒𝑟𝑔𝑦 𝑝𝑟𝑜𝑑𝑢𝑐𝑡𝑖𝑜𝑛 (𝑘𝑊ℎ) eight hostels. Currently, the campus has only a grid
connection of 2 MW to feed its loads. The rooftop
J. SOLUTION METHODOLOGY capacity of the campus is found to be 4 MW through
As the objective function of the proposed system a detailed survey of the rooftop area available for PV
model and all the relevant constraints are linear with installation. Since National Electric Power
some integer variables, therefore mixed-integer Regulatory Agency (NEPRA).
linear programming (MILP) is used to solve this
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Start
Decision Variables
Energy exchange with grid
End of first
time interval
Pakistan allows energy exchange up to 1MW only, With almost 300 sunny days per annum and 8 sun
therefore we cannot install 4 MW PV due to budget hours a day, the integration of solar PV is a viable
constraints and regulatory requirements. As the solution to manage the energy problems of Pakistan
sizing of distributed generation is not being [57]. About 5100 kWh of energy is reported to be
addressed in our work, a 2 MW of onsite solar PV produced per day from 1MW solar PV [58].
installation is assumed for detailed techno-economic Therefore, we have proposed the integration of the
analysis. The effects of reducing its size to half are PV installation with campus μG in this work.
briefly described as well. Rating of the Li-ion based Similarly, Li-ion batteries are proposed as BESS in
BESS is assumed to be 800kWh [56], while the 600 this work due to their superior efficiency, high
kW diesel generator is already available in the reliability, improved power/energy density, low self-
existing system as a backup to power the loads in discharge and long lifetime [41]. The optimal
case of grid failure. charging/discharging of ESS proposed in this work
Besides, it is assumed that the grid connection from can further stretch their life.
utility has a net-metering facility in which
regulations allow power exports up to 1MW to grid A. CASE STUDY
network to minimize the energy consumption cost of Scheduling of µG in winter and summer seasons is
the prosumer. The campus load is diverse as there are presented in this case study, as two main seasons
academic and administration blocks, residential mostly occur in Pakistan. Load patterns of the typical
colony, and hostels. summer and winter days are taken for the analysis
purpose and these patterns are assumed to be the
VOLUME XX, 2020
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same throughout the season for ease in the analysis. Loads of the academic and admin blocks are high
January and August are the peak load months of during the campus timings while the peak energy
winter and summer seasons respectively. Peak load demands in residential colony and hostels are
days from these months are taken as typical days for observed after the campus time up to midnight. Table
analyzing each season to cover the worst-case 2 represents various parameters associated with the
scenario. Selecting the worst case for the economic system, while the information about electricity price
analysis gives careful judgment about cost savings. in the TOU tariff scheme is given in Table 3 [59].
Savings are underestimated using the peak load. Solar irradiance data used in the study is collected
When the load is less, most of the generated from [60], and the characteristics of this data are
electricity from PV will be exported to the grid modeled by using a normal probability distribution-
resulting in more savings. based function (PDF) defined in equation (19). The
The actual field data of campus consumption for defined PDF is used to generate daily solar irradiance
the typical days are taken from the meters installed at patterns. The generated irradiance pattern is used to
the local substation to analyze the daily cost of calculate the output power of PV generation by
electrical energy. These selected load patterns for equation (20), where Table 4 shows the profile of
analyzing the two seasons are shown in Figure 5, case studies.
while the average load distribution among residential
block, academic block, and hostels is shown in B. CASE 01 (SUMMER SEASON):
Figure 6. In this case, a typical summer season is discussed for
1200 energy consumption and exchange investigation
1000 using the price information given in Table 3.
800 Scenario 1(a): In this scenario, the energy demand
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Case Only Solar ESS Diesel Power Case Only PV ESS Diesel Power
1 (a) ✓ 2(a) ✓
1(d) ✓ ✓ ✓ ✓ 2(d) ✓ ✓ ✓ ✓
From the result, it is evident that the daily operation installation and grid connection. The proposed
cost of energy is very high in this scenario and this scheme is applied to optimally schedule the charging
scenario is considered as a base for comparing and discharging patterns of ESS and the net energy
different scenarios of the summer season. cost obtained is $894.97 by considering all the
Scenario 1(b): In this scenario, solar PV is integrated associated costs of all components in this scenario.
with prosumer μG, not only to feed its loads but also The LCOE in this case after optimal scheduling of
for energy export to the utility grid. The energy BESS in TOU based tariff comes to be $ 0.061/kWh
produced by solar PV is 8884.5 kWh which shows as shown in Table 5. This slight increase in LCOE is
the effectiveness of solar PV in the summer season. due to the cost of BESS involved in the case. The
LCOE of solar PV generated is taken as 0.048$/kWh comparison reveals that the percentage reduction in
in this case. Therefore, the net cost of electricity per the net cost of electricity is in this scenario is about
day becomes $ 804.12 which is reduced by 44% from 38% as compared to base scenario 1(a). The power
the base case. exchange with a grid is shown in Figure 7 where the
Scenario 1(c): In this scenario, the presence of ESS negative and positive values indicate the export and
is assumed in a prosumer facility in addition to PV import of energy respectively. The scheduling result
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of the ESS indicates that the end of battery operation energy demand in this winter scenario is merely
occurs at the same SOC i.e.50% from where its fulfilled from the grid connection.
operation begins at the start of the day. Furthermore,
the ESS attempts to stores the energy intelligently in
off-peak hours and discharges in peak hours to
minimize the operational cost of energy as shown in
Figure 8.
tariff
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Net Cost of
Energy Net Cost of
Energy Cost of CC** electricity
generated electricity
Case Only import grid ($/day) without LCOE %
PV ESS DGen by with CC/day
01 Grid from grid electricity CC/day ($/kWh) Saving
prosumer ($)
⸸
(kWh/day) /day ($)* ($)
(kWh/day)
A B C=B-A
*This involves the cost of grid electricity only without considering costs of other involved components such as PV, ESS, and/or DGen
⸸
This cost is calculated to find LCOE in each scenario. LCOE from PV is taken as 0.048$/kWh [52]. The proposed model has already
incorporated O&M costs of ESS and/or DGen in their relevant scenarios, therefore, the effect of installation costs of ESS and DGen is
** Carbon credit (CC) assuming that the prosumer is registered under the carbon development mechanism (CDM) [61].
energy is instantly sold to the utility grid without any compared to base scenario 2(a).
schedule. The net cost is reduced to $1100.3 i.e. a Scenario 2(d): In this scenario, the availability of
reduction of 37% as compared to the base case onsite diesel generator is also assumed in campus μG
scenario (a) where the cost is $1730.98. The reason to relax the grid network in peak hours. The energy
behind the net cost reduction is the cheap energy import from the grid is restricted to 50 kW. An
generation from solar PV. However, it relies on grid additional benefit of DGen is the continuity of
availability and weather condition. During the cloudy electric supply in the case of grid outages. Figure 11
day or grid outage, this scenario could not give shows the state of charge of the battery, which
continuous supply. So, in the next scenarios, ESS and indicated the available energy ratio as compared to
DGen are added to analyze their effect. the total capacity.
Scenario 2(c): From the tariff given in Table 3, the
peak hours are from 17:00 to 21:00 for the winter
season. In this scenario, energy storage is also added
to better manage the energy exchange with utility.
The net cost of electricity is reduced from $1730.9 to
$1202.7 i.e. a reduction of 31% from the base
scenario 2(a). The proposed scheme is applied to
optimally schedule the charging and discharging
patterns of ESS to obtain financial savings as shown
in Figure 10. Although the cost of grid electricity is
reduced in this case as optimizer tries to sell energy FIGURE 10: Case 2(c): Battery state of charge in case 2(c)
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Net Cost
Energy Cost of of
Energy Cost of
generated CC** Electricity electricity
Case Only import grid LCOE %
PV ESS DGen by ($/day) /day with
02 Grid from grid electricity ($/kWh) Saving
prosumer ($) ⸸ CC/day
(kWh/day) /day ($) *
(kWh/day) ($)
A B C=B-A
*This involves the cost of grid electricity only without considering costs of other involved components such as PV, ESS, and/or DGen.
⸸
This cost is calculated to find LCOE in each scenario. LCOE from PV is taken as 0.048$/kWh [52]. The proposed model has already
incorporated O&M costs of ESS and/or DGen in their relevant scenarios, therefore, the effect of installation costs of ESS and DGen is
** Carbon credit (CC) assuming that prosumer is registered under carbon development mechanism (CDM) [61].
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NA and Conic
[16] 2018 IEEE-15 bus system Financial feasibility 3.3 %
Technique
Power losses,
[18] 2017 BBSA IEEE-14 bus system 18.26%
reliability
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TABLE 8. Profile of case studies for summer and winter seasons with different ratings of PV Integration
E. EFFECT OF LOAD VARIATIONS ON COST For the lowest consumption day of the summer
OF ELECTRICITY/DAY AND LCOE season, energy import from the grid network is
The load consumption patterns used for detailed 2917.92 kWh/day while the net cost of electricity is
savings and economic analysis are based on peak $570.74/day. LCOE, based on the lowest
consumption. However, the effect of load variations consumption, becomes $0.048/kWh. On a summer
has also been observed on the net cost of electricity per day with an average load consumption, energy import
day and LCOE. For this purpose, days of lowest, from the grid is more as compared to the day with the
average and peak load consumption for the summer lowest consumption. The net cost of electricity and
and winter seasons are analyzed with the optimally LCOE is $4376.88 and 0.064$/kWh respectively for
scheduled campus μG having PV, ESS, and DGen this case. For a peak consumption day in summer, the
along with grid connection. The results obtained for net cost of electricity is increased to $951.53/day and
different load patterns using 2000 kW of PV LCOE becomes 0.065$/kWh. The same results of
installation in summer and winter seasons are given in LCOE and the net cost of electricity per day for the
Table 9. various load consumption patterns of winter are also
presented in Table 9.
Net cost of
Load consumption Energy import from the Energy generated by grid LCOE
Season
pattern grid (kWh/day) solar PV (kWh/day) electricity/day ($/kWh)
($)
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