A Fog Computing Enabled Virtual Power Plant Model for Delivery of Frequency Restoration Reserve Services

Nowadays, centralized energy grid systems are transitioning towards more decentralized systems driven by the need for efficient local integration of new deployed small scale renewable energy sources. The high limits for accessing the energy markets and also for the delivery of ancillary services act as a barrier for small scale prosumers participation forcing the implementation of new cooperative business models at the local level. This paper is proposing a fog computing infrastructure for the local management of energy systems and the creation of coalitions of prosumers able to provide ancillary services to the grid. It features an edge devices layer for energy monitoring of individual prosumers, a fog layer providing Information and Communication Technologies (ICT) techniques for managing local energy systems by implementing cooperative models, and a cloud layer where the service specific technical requirements are defined. On top, a model has been defined allowing the dynamical construction of coalitions of prosumers as Virtual Power Plants at the fog layer for the provisioning of frequency restoration reserve services while considering both the prosumers’ local constraints and the service ones as well as the constituents’ profit maximization. Simulation results show our solution effectiveness in selecting the optimal coalition of prosumers to reliably deliver the service meeting the technical constraints while featuring a low time and computation overhead being feasible to be run closer to the edge.