Designing Decentralized Markets for Distribution System Flexibility

By Thomas Morstyn, Alexander Teytelboym, Malcolm Duncan McCulloch. IEEE Transactions on Power Systems, 2019

167 citations recorded by the source corpus.

This paper introduces a decentralized market design, which allows a distribution system operator to manage local demand constraints by obtaining flexibility from competing aggregators, which must in-turn incentivize prosumers to provide this flexibility. The novel networked market structure accounts for distribution system operator-to-aggregator and aggregator-to-prosumer ICT infrastructure and contractual arrangements, which may limit which participants can negotiate transactions with one another. The proposed flexibility market is opt-in for prosumers, which continue to obtain energy within the existing retail electricity market. At the same time, it is underpinned by bilateral energy transactions, and could be integrated into future peer-to-peer electricity markets. Through the market, the distribution system operator, aggregators, and prosumers reach agreement on a stable outcome–a set of individually beneficial transactions no group wishes to mutually deviate from. Market outcomes also satisfy Pareto efficiency, meaning that it is not possible to make a participant better off, without making another worse off.

Subfields: Control and Systems Engineering, Electrical and Electronic Engineering

View Paper: https://www.semanticscholar.org/paper/8b65d60ab7af0bd5c093910cba11b7ddd10155ba

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Control and Systems Engineering

1. H. Jia
2. Qiuwei Wu
3. Xiaolong Jin
4. Mohsen Khorasany
5. Yateendra Mishra
6. Gerard Ledwich

In Electrical and Electronic Engineering

1. H. Jia
2. Xiaolong Jin
3. Qiuwei Wu
4. Mohsen Khorasany
5. Yateendra Mishra
6. Gerard Ledwich

Citations in the corpus

• Local flexibility markets: Literature review on concepts, models and clearing methods (2020, methodology): “Submitted to Elsevier Science 17 [77], the DSO has the LFM operator role in the LFM simultaneously.”
• A Decentralized Bilateral Energy Trading System for Peer-to-Peer Electricity Markets (2020, background): “The decentralized market design proposed in [19] allows system operator to manage local demand by obtaining flexibility from prosumers and aggregators.”