Strategic energy management in multi-source microgrids: A Bertrand duopoly game algorithm model

• The paper main contributions are:. • The study Introduces an energy management strategy for grid-connected multi-source systems using a Bertrand duopoly game model. • Implements a pricing mechanism where suppliers set prices simultaneously, and consumers choose the most cost-effective energy source. • The approach balances cost savings for consumers with optimal energy utilization for suppliers. This paper presents an innovative energy management strategy for a grid-connected multi-source system, utilizing a Bertrand duopoly game model. This approach integrates a pricing mechanism and energy availability to govern the interactions between suppliers and the consumer. We propose a negotiation-based strategy that simulates these interactions, with all suppliers participating on equal terms by simultaneously setting their selling prices. In response, to the varying prices, the consumer selects the most favorable energy source. This strategy balances energy distribution, minimizing costs for the consumer while maximizing energy utilization for the suppliers. The performance and effectiveness of the proposed algorithm were validated through c extensive MATLAB/Simulink simulations. The results indicate that the model enhances operational efficiency and promotes sustainable energy management practices within hybrid energy systems. The integration of game theory allows for the optimization of interactions among stakeholders and addresses the complexities of decision-making in multi-source systems.