Paper Info
Title
Distributed Energy Trading In Microgrids: A Game-Theoretic Model And Its Equilibrium Analysis
Abstract
This paper proposes a distributed mechanism for energy trading among microgrids in a competitive market. We consider multiple interconnected microgrids in a region where, at a given time, some microgrids have superfluous energy for sale or to keep in storage facilities, whereas some other microgrids wish to buy additional energy to meet local demands and/or storage requirements. Under our approach, sellers lead the competition by independently deciding the amount of energy for sale subject to a tradeoff between the attained satisfaction from the received revenue and that from the stored energy. Buyers follow the sellers' actions by independently submitting a unit price bid to the sellers. Correspondingly, the energy is allocated to the buyers in proportion to their bids, whereas the revenue is allocated to the sellers in proportion to their sales. We study the economic benefits of such an energy trading mechanism by analyzing its hierarchical decision-making scheme as a multileader-multifollower Stackelberg game. We show that distributing the energy based on a well-defined utility function converges to a unique equilibrium solution for maximizing the payoff of all participating microgrids. This game-theoretic study provides an incentive for energy trading among microgrids in future power grids.
Year
DOI
Venue
2015
10.1109/TIE.2014.2387340
IEEE TRANSACTIONS ON INDUSTRIAL ELECTRONICS
Keywords
DocType
Volume
Energy trading, equilibrium analysis, microgrids, Stackelberg game
Journal
62
Issue
ISSN
Citations 
6
0278-0046
3
PageRank 
References 
Authors
0.39
0
4
Name
Order
Citations
PageRank
Joohyung Lee1336.17
Jun Guo2614.10
Jun-Kyun Choi317543.94
Moshe Zukerman41660175.61