Forming Bidding Curves for a Distribution System Operator

Increasing penetration of distributed generators (DGs) and intelligent loads necessitates a transactive system, where a distribution system operator (DSO) is required to submit bidding curves for its net demand. This paper proposes a price-maker bidding approach for a DSO that captures distribution power flows, constraints, and uncertainties arising from DGs and loads. A neurodynamic algorithm is proposed to ensure that the bidding curve can be derived in real time. Simulation results justify the need for considering constraints and uncertainties in the bidding model and explain how these factors impact the bidding curve.

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