An Electricity Market Pricing Model Based on Load Demand in a Microgrid Using a Community Peer-To-Peer Approach

In this paper, a new peer-to-peer (P2P) pricing mechanism based on Flexi User and Pool Hub schemes is proposed in a community of buyers using battery storage systems to ensure that all customers in a community enjoy economic benefits. The proposed mechanism does not only consider the power surplus and shortage relationship, but also considers the power grid Real-Time Price (RTP) and Feed-in Tariff (FiT), which reflects the power system demand, where the price is high during peak demand and lower during off-peak. Demand is then implemented by a demand response (DR) program to encourage consumers to manage energy consumption, reduce stress on the power grid, and ensure that energy exchange between peers does not violate grid constraints. Results show that in addition to demand response in the grid, in the Flexi User scenario, the total savings to society from the combination of storage and P2P collaboration lead to a 24.25% reduction in electricity bills compared to a reference case (neither storage nor P2P trading). While the monetary savings in the Pool Hub market is up to 25.53%, this requires more direct P2P trading of distributed energy resources.