Demand Response Optimization in Micro-grid Operation with Participation of Renewable Energy Resource and Battery Energy Storage System

The penetration of renewable energy sources (RS), energy storage, and demand response in energy systems arise challenges for energy management problems. Micro-grid with flexible regulation abilities provides an effective way to solve the problems of RS connected to main grids. This paper proposes a stochastic model in the optimization of demand response program (DRP) of micro-grids which allow simultaneously optimizes both the RS with different technologies and energy storage. The operation cost including costs for purchasing power from the utility grid, the operation cost of RS and energy storage along with emission cost and cost of DRP is minimized in each computed cycle. The uncertainty is modeled by probability density functions, divided into states by the clustering technique and then scenarios are generated by the scenario matrix and reduced in order to reduce the computational burden. The simulation results by the test system show that the proposed model is feasibility and the DRP has significant impacts on efficiency improvement of micro-grids such as reduction of energy cost and emission, and avoidance of connection devices investment.