Smart grid architecture and impact analysis of a residential microgrid

This paper addresses the issue of selecting architecture of smart grid that can be used so as to test applications and uses cases related to services. Most existing architectures are based on the NIST conceptual model that defines seven high-level domains (Bulk Generation, Transmission, Distribution, Customers, Operations, Markets and Service Providers), which is not suitable with recent progress in grid modernization. The National Institute of Standards and Technology (NIST) model does not underline the importance of advanced energy storage and peak-shaving technology. However an efficient architecture should be close to reality defining all components that can increase customer participation in the energy management and improve flexibility, consumption reduction, demand-side management development and incorporation. As a solution, we propose a layered smart grid architecture where each layer provides a set of services. To validate our architecture we consider a use case that highlights the integration of energy storage units in smart grids using batteries that can either produce or store energy. The batteries are implemented with different values of capacity and simulation result shows the impact of energy storage systems and their role in providing grid stabilization, improving power quality and reducing peak demand.