Principal Investigator
at MIT: Professor James Kirtley
Principal Investigator
at Masdar Institute: Associate Professor Scott Kennedy and Assistant Professor Hatem
Zeineldin
Description and Objectives
This project examines the challenges of integrating high penetrations of distributed and intermittent renewable energy sources, such as solar photovoltaics and wind power, into modern power systems. Two interrelated areas are covered: 1) operation and control of micro-grids in order to take better advantage of distributed resources, and 2) modification of power market rules and mechanisms to best accommodate non-dispatchable generation that may operate on a micro-grid. On the power market side, our work examines how different designs, rules and mechanisms in advance and real-time electricity sport markets either inhibit or encourage the deployment and market participation of renewable energy sources. The potential role of energy management systems and energy storage in enabling more price responsive demand is another key component.
Approach
The approach involves running coupled simulations between power system operation and sequentially clearing power markets. Optimal power flow and unit commitment problems are solved for testing different distributed generation technologies under a range of grid topologies and transmission capacity limitations. Interesting topics currently under examination are the optimal bidding strategies for wind power providers when their aggregate output impacts the market price, the potential participation of wind or solar power providers in ancillary service markets, and the financial arrangements that would guide operation of micro-grids.
Progress
The project team is currently developing an electricity market simulation model to examine price dynamics resulting from high penetrations of wind power in grids with active transmission constraints. A survey of demand response technologies and demand response aggregation techniques across different customer classes is also ongoing. Results from the demand response study will be used to incorporate price-elastic demand-side bidding in the electricity market model.