Non-cooperative game theory based energy management systems for energy district in the retail market considering DER uncertainties

Mousa Marzband; Masoumeh Javadi; José Luis Domínguez-García; Maziar Mirhosseini Moghaddam

Non-cooperative game theory based energy management systems for energy district in the retail market considering DER uncertainties

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Author(s): Mousa Marzband ^{1, 2} ; Masoumeh Javadi ^{3, 4} ; José Luis Domínguez-García ⁵ ; Maziar Mirhosseini Moghaddam ¹
- Affiliations: 1: Department of Electrical Engineering, Lahijan Branch, Islamic Azad University, Lahijan, Iran ;
  2: School of Electrical and Electronic Engineering, The University of Manchester, Ferranti Building, Manchester, M13 9PL, UK ;
  3: Department of Electrical Power Engineering, Rasht Branch, Islamic Azad University, Rasht, Iran ;
  4: Department of Electrical Power Engineering, Guilan Science and Research Branch, Islamic Azad University, Rasht, Iran ;
  5: Catalonia Institute for Energy Research (IREC), Jardins de les Dones de Negre 1, 08930 Sant Adrià de Besòs, Barcelona, Spain
Source: Volume 10, Issue 12, 02 September 2016, p. 2999 – 3009
DOI: 10.1049/iet-gtd.2016.0024 , Print ISSN 1751-8687, Online ISSN 1751-8695

Received 07/01/2016, Accepted 26/04/2016, Revised 19/04/2016, Published 02/09/2016

In this study, a general framework for implementing a retail energy market based on the Nikaido–Isoda/relaxation algorithm is proposed as an electricity market structure with large distributed energy resources (DERs) penetration and demand side management of consumers. Moreover, the consumers are able to participate in the market as prosumers (i.e. producer and consumer at the same time). By considering the related uncertainties, the DERs can maximise their expected payoff or profit by undertaking strategies through the price bidding strategy, based on the proposed structure, considering Nash equilibrium. The results show the effectiveness and accuracy of the proposed framework in determining the optimal power set-points of players participating in the market to achieve the objectives.

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Non-cooperative game theory based energy management systems for energy district in the retail market considering DER uncertainties

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