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Distributed dynamic pricing based on demand-supply balance and voltage phase difference in power grid

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Abstract

This paper discusses a distributed decision procedure for determining the electricity price for a real-time electricity marketin an energy management system. The price decision algorithm proposed in this paper derives the optimal electricity pricewhile considering the constraints of a linearized AC power grid model. The algorithm is based on the power demand-supplybalance and voltage phase differences in a power grid. In order to determine the optimal price that maximizes the social welfare distributively and to improve the convergence speed of the algorithm, the proposed algorithm updates the price through the alternating decision making of market participants. In this paper, we show the convergence of the price derived from our proposed algorithm. Furthermore, numerical simulation results show that the proposed dynamic pricing methodology is effective and that there is an improvement in the convergence speed, as compared with the conventional method.

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Author information

Authors and Affiliations

  1. Graduate School of Science and Technology, Keio University, 3-14-1 Hiyoshi, Kohoku-ku, Yokohama, Kanagawa, 223-8522, Japan

    Yoshihiro Okawa & Toru Namerikawa

Authors
  1. Yoshihiro Okawa
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  2. Toru Namerikawa
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Corresponding author

Correspondence to Yoshihiro Okawa.

Additional information

This work was supported by the Core Research for Evolutional Science and Technology, Japan Science and Technology Agency (JST-CREST).

Yoshihiro OKAWA received his B.E. andM.E. degrees from Keio University, Japan,in 2012 and 2013, respectively. He is currently pursuing his Ph.D. at Keio University. His research interests include robust control,control systems, and real-time pricing in power network systems.

Toru NAMERIKAWA received the B.E., M.E., and Ph.D. in Engineering in Electrical and Computer Engineering from Kanazawa University, Japan, in 1991, 1993, and 1997, respectively. From 1994 until 2002, he was with Kanazawa University as an assistant professor. From 2002 until 2005, he was with the Nagaoka University of Technology as an associate professor. From 2006 until 2009, he was with Kanazawa University again. In April 2009, he joinedKeio University, where he is currently a professor in the Department of System Design Engineering. His main research interests are robust control, nonlinear control, cooperative control theories, and their application to power network systems and robotic systems. He is a member of ISCIE and IEEE.

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Okawa, Y., Namerikawa, T. Distributed dynamic pricing based on demand-supply balance and voltage phase difference in power grid. Control Theory Technol. 13, 90–100 (2015). https://doi.org/10.1007/s11768-015-4131-5

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  • DOI: https://doi.org/10.1007/s11768-015-4131-5

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