Distributed real-time power management for virtual energy storage systems using dynamic price

Abstract Energy storage systems (ESS) are widely used in active distribution networks (ADN) to smoothen the drastic fluctuation of renewable energy sources (RES). In order to enhance the scalability and flexibility of ESS, a virtual energy storage system (VESS), which composed of battery energy storage system (BESS), RES as well as flexible loads (FL), is developed in this paper to realize the functionalities of ESS in more cost-effective way in ADN. Aiming at achieving voltage regulation, dynamic pricing strategies based on system voltage condition are designed for VESS. A distributed real-time power management model containing dynamic pricing strategies is proposed to accomplish the voltage regulation and economic power sharing in VESS. Moreover, a set of distributed algorithms, over time-varying unbalanced directed networks, are designed for dynamic pricing strategies and optimal power management model. Furthermore, the convergence property, optimality and system voltage stability are explained by detailed mathematical analysis. Three various case studies which were ran on a real time digital simulator (OPAL-RT OP5600) were designed to validate the effectiveness of the strategy. Finally, simulation results show that the economic power dispatch and voltage regulation are achieved among VESS simultaneously, even in the presence of time-varying directed and unbalanced communication networks.