Aggregation of Distributed Energy Resources for Optimal Operation in Local Energy Communities With Grid Constraints

This article presents a framework to efficiently manage a sizable fleet of diverse distributed energy resources (DERs) operating within distribution systems to optimize the operations of local energy communities (LECs) and improve grid services. First, we develop aggregation modeling for DERs to evaluate cumulative flexibility that considers their preferences, spatial placement, and temporal behavior. Subsequently, we employ a hierarchical control framework (HCF) to put these aggregated flexibility of DERs for their effective dispatching. The HCF involves three key entities: an electric utility (EU) operator, community aggregators (CAs), and individual DERs. CAs harness the flexibility obtained from the aggregated DERs within their respective LECs to minimize operational costs while also considering the distribution network constraints. On the other hand, the EU operator coordinates dispatch setpoints received from CAs along with the disaggregated DERs to regulate distribution system node voltages and reduce power losses to enhance grid services. Numerical simulations conducted on a modified IEEE-123 bus radial distribution network demonstrate the efficacy of our approach in effectively managing DERs for cost-efficient operations and improving grid services.