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Damien Ernst – University of Li`ege
Email: dernst@ulg.ac.be
ATRIAS
September 2013
1
From fit and forget to active network management
Distribution networks traditionnally operated according to the
fit and forget doctrine.
Fit and forget. Network planning is made with respect to a set of
critical scenarios so as to assure that sufficient operational margins
are always ensured (i.e., no over/under voltage problems, overloads)
without any control over the loads or the generation sources.
Shortcomings. With rapid growth of distributed generation
resources, the preservation of such conservative margins comes at
continuously increasing network reinforcement costs.
2
The buzzwords for avoiding prohibitively reinforcement costs: active
network management.
Active network management. Smart modulation of generation
sources and loads (demand side management) so as to operate the
electrical network in a safe way, without having to rely on significant
investments in infrastructure.
GREDOR project. Redesigning in an integrated way the whole
decision chain used for managing distribution networks so as to do
active network management in an optimal way (i.e., maximisation of
social welfare).
3
Decision chain
The four stages of the decision chain for managing distribution
networks:
1. Models of interaction
2. Investments
3. Operational planning
4. Real-time control
4
1. Models of interaction
A model of interaction defines the flows of information, services and
money between the different actors.
Defined (at least partially) in the regulation.
2. Investments
Decisions to build new cables, investing in telemeasurements, etc.
5
3. Operational planning
Decisions taken few minutes to a few days before real-time.
Decisions that may interfere with energy markets. Example: decision
to buy the day-ahead load flexibility to solve overload problems.
Important: new investments may significantly affect the cost of
operational strategies.
4. Real-time control
Almost real-time decisions. Typical examples of such decisions:
modifying the reactive power injected by wind farms into the
network, changing the tap setting of transformers. In the normal
mode (no emergency situation caused by “unfortunate event”),
these decisions should not modify production/consumption over a
market period.
6
GREDOR as an optimisation problem
M : set of possible models of interaction
I : set of possible investment strategies
O : set of possible operational planning strategies
R : set of possible real-time control strategies
Solve:
arg max
(m,i,o,r)∈M×I×O×R
social welfare(m, i, o, r)
7
A simple example
M: reduced to one single element.
Model of interaction mainly defined by these two components:
1. Distribution Network Operator (DNO) can buy the day-ahead
load flexibility service.
2. Between the beginning of every market period, it can decide to
curtail generation for the next market period or activate the load
flexibility service. Curtailment decisions have a cost. Note: No
uncertainty when taking these curtailment decisions.
0h00 24h00
Time
Intra-dayDay-ahead
Stage 0 ...
Period 1 2 T...
...
...
...
Control actions
u0
u1 uT
Uncertain variables !1 !T
System state x1 x2 xTxT-1
1 2 T
x0
8
More about the load modulation service
Any load offering a flexibility service must follow a baseline
demand profile unless otherwise instructed by the DNO.
The loads specify upward and downward demand modification
limits per market period.
Any modulation instructions by the DNO should not modify the
net energy volume consumed by a flexible load over the market
day, with respect to the baseline profile.
In the day-ahead, the DNO analyzes the different offers and
selects the flexible loads it will use for the next market day.
9
I: made of two elements. Either to invest in an asset A or not to
invest in it.
O: the set of operational strategies is the set of all algorithms that
(i)in the day-ahead process information available to the DNO to
decide which flexible loads to buy (ii) process before every market
period this information to decide (a) how to modulate the flexible
loads (b) how to curtail generation.
R: empty set. No real-time control implemented.
social welfare(m, i, o, r): the (expected) costs for the DNO.
10
The optimal operational strategy
Let o∗ be an optimal operational strategy. Such a strategy has the
following characteristics:
1. for every market period, it leads to a safe operating point of the
network (no overloads, no voltage problems).
2. there are no strategies in O leading to a safe operating point of
the network and a smaller(expected) total cost than o∗. The total
expected cost is defined as the cost of buying flexiblity plus the
costs for curtailing generation.
It can be shown that the optimal operation strategy can be written
as a stochastic sequential optimisation problem.
Solving this problem is challenging. Getting even a good suboptimal
solution may be particularly difficult for large distribution networks
and/or when there are the day-ahead strong uncertainty on the
power injected/withdrawn at the different nodes of the distribution
network.
11
The benchmark problem
HV
MV Bus 1
Bus 3
Bus 2 Bus 4 Bus 5
12/05/13 16:23
Page 1 sur 1file:///Users/Quentin/Downloads/generator.svg
12/05/13 16:23
Page 1 sur 1file:///Users/Quentin/Downloads/generator.svg
Solar
aggregated
Wind
Residential
aggregated Industrial
When Distributed Generation
(DG) sources produce a lot of
power: (I) overvoltage problem at
Bus 4 (II) overload problem on the
MV/HV transformer.
Two flexible loads; only three market periods; possibility to curtail
the two DG sources before every market period (at a cost).
12
Information available to the DNO on the day-ahead
The flexible load offers:
0.01.53.04.56.07.5
Periods
LoadinMW
1 2 3
0.01.53.04.56.07.5
Periods
LoadinMW
1 2 3
Left: residential aggregated. Price pr.
Right: Industrial. Price pi.
Scenario tree for representing
uncertainty:
6
increase the dimensions of the problem. In the following
sections, we describe results obtained on a small test system,
with a short time horizon and a moderate number of scenarios.
In the concluding section, we discuss pitfalls and avenues for
solving realistic scale instances.
Case Study
We analyze issues arising at the MV level in some Belgian
distribution systems (Figure 5). Often, wind-farms are directly
connected to the HV/MV transformer, as modeled in our test
system by the generator connected to bus 2. Power off-takes
and injections induced by residential consumers are aggregated
at bus 4 by a load and a generator representing the total
production of PV panels. Finally, the load connected to bus 5
represents an industrial consumer.
HV
MV Bus 1
Bus 3
Bus 2 Bus 4 Bus 5
D-A
W = 80%
S = 20%
W = 70%
S = 40%
W = 80%
S = 70%
W = 65%
S = 50%
0.5
0.5
W = 40%
S = 30%
W = 60%
S = 60%
W = 45%
S = 40%
0.4
0.6
0.7
0.3
W = 60%
S = 10%
W = 35%
S = 30%
W = 35%
S = 60%
W = 25%
S = 40%
0.5
0.5
W = 20%
S = 20%
W = 20%
S = 50%
W = 10%
S = 30%
0.4
0.6
0.4
0.6
0.7
0.3
(a) Scenario tree used for the case study. The nodes show the values of
the random variables and the label on the edges define the transition
probabilities between nodes.
●
●
●
2468101214
talgenerationofDGunitsinMW
●
●
●
●
●
●
●
●
●
●
●
●
●
●
●
●
●
●
●
●
●
●
●
●
W = Wind; S = Sun.
Additional information: a load-flow model of the network; the price
(per MWh) for curtailing generation.
13
Decisions output by o∗
The day-ahead: To buy flexibility offer from the residential
aggregated load.
Before every market period:
We report results when gen-
eration follows this scenario:
7
0.01.53.04.56.07.5
Periods
LoadinMW
1 2 3
0.01.53.04.56.07.5
Periods
LoadinMW
1 2 3
Fig. 7: Flexible loads, with P, P and P represented respec-
tively by dashed, continuous and dotted lines.
D-A
W = 80%
S = 20%
W = 70%
S = 40%
W = 80%
S = 70%
W = 65%
S = 50%
0.5
0.5
W = 40%
S = 30%
W = 60%
S = 60%
W = 45%
S = 40%
0.4
0.6
0.7
0.3
W = 60%
S = 10%
W = 35%
S = 30%
W = 35%
S = 60%
W = 25%
S = 40%
0.5
0.5
W = 20%
S = 20%
W = 20%
S = 50%
W = 10%
S = 30%
0.4
0.6
0.4
0.6
0.7
0.3
Fig. 8: Selected scenario
Scenario analysis
Interest of the stochastic model
0 50 100 150 200 250
01234
Availability price of flexibility
Curtailedpower
50100150200250300
Objective
Curtailed Power
Objective
2 flexible
loads
1 flexible load
0 flexible
load
Fig. 9: Flexibility cost analysis.
scenarios.
In the considered case study, the mean scenario technique
make the decision not to buy flexibility while the tree-based
approach only buy the flexibility of the residential load.
Interest of loads’ flexibility
Highlight ability to detect whether DSM is interesting as
function of bid prices vs. issues in the system.
cf. Figure ?? !! To update with new case study !!
Implementation and algorithmic details
It is not easy to find a solver that can manage this MINLP, even
Results: Generation never cur-
tailed. Load modulated as follows:
0.01.53.04.56.07.5
Periods
LoadinMW
1 2 3
14
On the importance of managing well uncertainty
E{cost} max cost min cost std dev.
o∗ 46$ 379$ 30$ 72$
MSA 73$ 770$ 0$ 174$
where MSA stands for Mean Scenario Strategy.
Observations: Managing well uncertainty leads to smaller expected
costs than working along a mean scenario.
More results in:
“Active network management: planning under uncertainty for exploiting load
modulation” Q. Gemine, E. Karangelos, D. Ernst and B. Corn´elusse. Proceedings
of the 2013 IREP Symposium-Bulk Power System Dynamics and Control -IX
(IREP), August 25-30, 2013, Rethymnon, Greece, 9 pages.
15
The optimal investment strategy
Remember that we had to choose between doing investment A or not. Let AP be
the amortization period and cost A the cost of investment A. The optimal
investment strategy can be defined as follows:
1. Simulate using operational strategy o∗ the distribution network
with element A several times over a period of AP years. Extract
from the simulations the expected cost of using o∗ during AP
years. Let cost o∗ with A be this cost.
2. Simulate using operational strategy o∗ the distribution network
without element A several times over a period of AP years.
Extract from the simulations the expected cost of using o∗ during
AP years. Let cost o∗ without A be this cost.
3. If cost A + cost o∗ with A ≤ cost o∗ without A, do investment A.
Otherwise not.
16
GREDOR project: four main challenges
Data: Difficulties for DNOs to gather the right data for building the
decision models (especially for real-time control).
Computational challenges: Many of the optimisation problems in
GREDOR are out of reach of state-of-the-art techniques.
Definition of social welfare(·, ·, ·, ·) function: Difficulties to reach
a consensus on what is social welfare, especially given that actors in
the electrical sector have conflicting interests.
Human factor: Engineers from distribution companies have to break
away from their traditional practices. They need incentives for
changing their working habits.
17
Acknowledgements
1. To all the partners of the GREDOR project: EDF-LUMINUS,
ELIA, ORES, ULG, UMONS, TECTEO RESA, TRACTEBEL
ENGINEERING.
2. To the Public Service of Wallonia - Department of Energy and
Sustainable Building for funding this research.
18
Website: www.gredor.be
19

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GREDOR

  • 1. Damien Ernst – University of Li`ege Email: dernst@ulg.ac.be ATRIAS September 2013 1
  • 2. From fit and forget to active network management Distribution networks traditionnally operated according to the fit and forget doctrine. Fit and forget. Network planning is made with respect to a set of critical scenarios so as to assure that sufficient operational margins are always ensured (i.e., no over/under voltage problems, overloads) without any control over the loads or the generation sources. Shortcomings. With rapid growth of distributed generation resources, the preservation of such conservative margins comes at continuously increasing network reinforcement costs. 2
  • 3. The buzzwords for avoiding prohibitively reinforcement costs: active network management. Active network management. Smart modulation of generation sources and loads (demand side management) so as to operate the electrical network in a safe way, without having to rely on significant investments in infrastructure. GREDOR project. Redesigning in an integrated way the whole decision chain used for managing distribution networks so as to do active network management in an optimal way (i.e., maximisation of social welfare). 3
  • 4. Decision chain The four stages of the decision chain for managing distribution networks: 1. Models of interaction 2. Investments 3. Operational planning 4. Real-time control 4
  • 5. 1. Models of interaction A model of interaction defines the flows of information, services and money between the different actors. Defined (at least partially) in the regulation. 2. Investments Decisions to build new cables, investing in telemeasurements, etc. 5
  • 6. 3. Operational planning Decisions taken few minutes to a few days before real-time. Decisions that may interfere with energy markets. Example: decision to buy the day-ahead load flexibility to solve overload problems. Important: new investments may significantly affect the cost of operational strategies. 4. Real-time control Almost real-time decisions. Typical examples of such decisions: modifying the reactive power injected by wind farms into the network, changing the tap setting of transformers. In the normal mode (no emergency situation caused by “unfortunate event”), these decisions should not modify production/consumption over a market period. 6
  • 7. GREDOR as an optimisation problem M : set of possible models of interaction I : set of possible investment strategies O : set of possible operational planning strategies R : set of possible real-time control strategies Solve: arg max (m,i,o,r)∈M×I×O×R social welfare(m, i, o, r) 7
  • 8. A simple example M: reduced to one single element. Model of interaction mainly defined by these two components: 1. Distribution Network Operator (DNO) can buy the day-ahead load flexibility service. 2. Between the beginning of every market period, it can decide to curtail generation for the next market period or activate the load flexibility service. Curtailment decisions have a cost. Note: No uncertainty when taking these curtailment decisions. 0h00 24h00 Time Intra-dayDay-ahead Stage 0 ... Period 1 2 T... ... ... ... Control actions u0 u1 uT Uncertain variables !1 !T System state x1 x2 xTxT-1 1 2 T x0 8
  • 9. More about the load modulation service Any load offering a flexibility service must follow a baseline demand profile unless otherwise instructed by the DNO. The loads specify upward and downward demand modification limits per market period. Any modulation instructions by the DNO should not modify the net energy volume consumed by a flexible load over the market day, with respect to the baseline profile. In the day-ahead, the DNO analyzes the different offers and selects the flexible loads it will use for the next market day. 9
  • 10. I: made of two elements. Either to invest in an asset A or not to invest in it. O: the set of operational strategies is the set of all algorithms that (i)in the day-ahead process information available to the DNO to decide which flexible loads to buy (ii) process before every market period this information to decide (a) how to modulate the flexible loads (b) how to curtail generation. R: empty set. No real-time control implemented. social welfare(m, i, o, r): the (expected) costs for the DNO. 10
  • 11. The optimal operational strategy Let o∗ be an optimal operational strategy. Such a strategy has the following characteristics: 1. for every market period, it leads to a safe operating point of the network (no overloads, no voltage problems). 2. there are no strategies in O leading to a safe operating point of the network and a smaller(expected) total cost than o∗. The total expected cost is defined as the cost of buying flexiblity plus the costs for curtailing generation. It can be shown that the optimal operation strategy can be written as a stochastic sequential optimisation problem. Solving this problem is challenging. Getting even a good suboptimal solution may be particularly difficult for large distribution networks and/or when there are the day-ahead strong uncertainty on the power injected/withdrawn at the different nodes of the distribution network. 11
  • 12. The benchmark problem HV MV Bus 1 Bus 3 Bus 2 Bus 4 Bus 5 12/05/13 16:23 Page 1 sur 1file:///Users/Quentin/Downloads/generator.svg 12/05/13 16:23 Page 1 sur 1file:///Users/Quentin/Downloads/generator.svg Solar aggregated Wind Residential aggregated Industrial When Distributed Generation (DG) sources produce a lot of power: (I) overvoltage problem at Bus 4 (II) overload problem on the MV/HV transformer. Two flexible loads; only three market periods; possibility to curtail the two DG sources before every market period (at a cost). 12
  • 13. Information available to the DNO on the day-ahead The flexible load offers: 0.01.53.04.56.07.5 Periods LoadinMW 1 2 3 0.01.53.04.56.07.5 Periods LoadinMW 1 2 3 Left: residential aggregated. Price pr. Right: Industrial. Price pi. Scenario tree for representing uncertainty: 6 increase the dimensions of the problem. In the following sections, we describe results obtained on a small test system, with a short time horizon and a moderate number of scenarios. In the concluding section, we discuss pitfalls and avenues for solving realistic scale instances. Case Study We analyze issues arising at the MV level in some Belgian distribution systems (Figure 5). Often, wind-farms are directly connected to the HV/MV transformer, as modeled in our test system by the generator connected to bus 2. Power off-takes and injections induced by residential consumers are aggregated at bus 4 by a load and a generator representing the total production of PV panels. Finally, the load connected to bus 5 represents an industrial consumer. HV MV Bus 1 Bus 3 Bus 2 Bus 4 Bus 5 D-A W = 80% S = 20% W = 70% S = 40% W = 80% S = 70% W = 65% S = 50% 0.5 0.5 W = 40% S = 30% W = 60% S = 60% W = 45% S = 40% 0.4 0.6 0.7 0.3 W = 60% S = 10% W = 35% S = 30% W = 35% S = 60% W = 25% S = 40% 0.5 0.5 W = 20% S = 20% W = 20% S = 50% W = 10% S = 30% 0.4 0.6 0.4 0.6 0.7 0.3 (a) Scenario tree used for the case study. The nodes show the values of the random variables and the label on the edges define the transition probabilities between nodes. ● ● ● 2468101214 talgenerationofDGunitsinMW ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● W = Wind; S = Sun. Additional information: a load-flow model of the network; the price (per MWh) for curtailing generation. 13
  • 14. Decisions output by o∗ The day-ahead: To buy flexibility offer from the residential aggregated load. Before every market period: We report results when gen- eration follows this scenario: 7 0.01.53.04.56.07.5 Periods LoadinMW 1 2 3 0.01.53.04.56.07.5 Periods LoadinMW 1 2 3 Fig. 7: Flexible loads, with P, P and P represented respec- tively by dashed, continuous and dotted lines. D-A W = 80% S = 20% W = 70% S = 40% W = 80% S = 70% W = 65% S = 50% 0.5 0.5 W = 40% S = 30% W = 60% S = 60% W = 45% S = 40% 0.4 0.6 0.7 0.3 W = 60% S = 10% W = 35% S = 30% W = 35% S = 60% W = 25% S = 40% 0.5 0.5 W = 20% S = 20% W = 20% S = 50% W = 10% S = 30% 0.4 0.6 0.4 0.6 0.7 0.3 Fig. 8: Selected scenario Scenario analysis Interest of the stochastic model 0 50 100 150 200 250 01234 Availability price of flexibility Curtailedpower 50100150200250300 Objective Curtailed Power Objective 2 flexible loads 1 flexible load 0 flexible load Fig. 9: Flexibility cost analysis. scenarios. In the considered case study, the mean scenario technique make the decision not to buy flexibility while the tree-based approach only buy the flexibility of the residential load. Interest of loads’ flexibility Highlight ability to detect whether DSM is interesting as function of bid prices vs. issues in the system. cf. Figure ?? !! To update with new case study !! Implementation and algorithmic details It is not easy to find a solver that can manage this MINLP, even Results: Generation never cur- tailed. Load modulated as follows: 0.01.53.04.56.07.5 Periods LoadinMW 1 2 3 14
  • 15. On the importance of managing well uncertainty E{cost} max cost min cost std dev. o∗ 46$ 379$ 30$ 72$ MSA 73$ 770$ 0$ 174$ where MSA stands for Mean Scenario Strategy. Observations: Managing well uncertainty leads to smaller expected costs than working along a mean scenario. More results in: “Active network management: planning under uncertainty for exploiting load modulation” Q. Gemine, E. Karangelos, D. Ernst and B. Corn´elusse. Proceedings of the 2013 IREP Symposium-Bulk Power System Dynamics and Control -IX (IREP), August 25-30, 2013, Rethymnon, Greece, 9 pages. 15
  • 16. The optimal investment strategy Remember that we had to choose between doing investment A or not. Let AP be the amortization period and cost A the cost of investment A. The optimal investment strategy can be defined as follows: 1. Simulate using operational strategy o∗ the distribution network with element A several times over a period of AP years. Extract from the simulations the expected cost of using o∗ during AP years. Let cost o∗ with A be this cost. 2. Simulate using operational strategy o∗ the distribution network without element A several times over a period of AP years. Extract from the simulations the expected cost of using o∗ during AP years. Let cost o∗ without A be this cost. 3. If cost A + cost o∗ with A ≤ cost o∗ without A, do investment A. Otherwise not. 16
  • 17. GREDOR project: four main challenges Data: Difficulties for DNOs to gather the right data for building the decision models (especially for real-time control). Computational challenges: Many of the optimisation problems in GREDOR are out of reach of state-of-the-art techniques. Definition of social welfare(·, ·, ·, ·) function: Difficulties to reach a consensus on what is social welfare, especially given that actors in the electrical sector have conflicting interests. Human factor: Engineers from distribution companies have to break away from their traditional practices. They need incentives for changing their working habits. 17
  • 18. Acknowledgements 1. To all the partners of the GREDOR project: EDF-LUMINUS, ELIA, ORES, ULG, UMONS, TECTEO RESA, TRACTEBEL ENGINEERING. 2. To the Public Service of Wallonia - Department of Energy and Sustainable Building for funding this research. 18