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Bilevel Programming for Reducing Peak Demand of a Microgrid System

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Advances in Production Management Systems. Smart Manufacturing and Logistics Systems: Turning Ideas into Action (APMS 2022)

Part of the book series: IFIP Advances in Information and Communication Technology ((IFIPAICT,volume 663))

Abstract

This paper investigated an electricity control strategy to minimize the electrical peak demand of a microgrid system composed of households. Each household can install a distributed generation system by applying for the subsidy program that the central grid system operator (GSO) encourages. The distributed generation system includes an electricity storage system and residential electricity generators such as photovoltaics and wind turbines. Each consumer seeks to arrange an appropriate schedule that minimizes the overall cost including electricity bills, investment costs, and penalty costs incurred by consumer dissatisfaction. Simultaneously, the GSO wants to minimize the peak demand among households. To address the problem, this paper developed a mixed-integer bilevel programming (MIBP) model. An exact algorithm based on consumer behavior is developed to attain optimal solutions for optimistic consumers. Numerical experiments are presented to illustrate the practical use of the model in the applications.

This research was supported by the National Research Foundation of Korea (NRF) funded by the Ministry of Science, ICT & Future Planning [Grant no. NRF-2019R1A2C2084616].

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Author information

Authors and Affiliations

  1. Department of Industrial Engineering, Seoul National University, Seoul, Korea

    Young-Bin Woo & Ilkyeong Moon

  2. Institute for Industrial Systems Innovation, Seoul National University, Seoul, Korea

    Ilkyeong Moon

Authors
  1. Young-Bin Woo
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  2. Ilkyeong Moon
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Corresponding author

Correspondence to Ilkyeong Moon .

Editor information

Editors and Affiliations

  1. Pohang University of Science and Technology, Pohang, Korea (Republic of)

    Duck Young Kim

  2. ZF Friedrichshafen AG, Friedrichshafen, Germany

    Gregor von Cieminski

  3. Tecnológico de Monterrey, Mexico City, Mexico

    David Romero

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Woo, YB., Moon, I. (2022). Bilevel Programming for Reducing Peak Demand of a Microgrid System. In: Kim, D.Y., von Cieminski, G., Romero, D. (eds) Advances in Production Management Systems. Smart Manufacturing and Logistics Systems: Turning Ideas into Action. APMS 2022. IFIP Advances in Information and Communication Technology, vol 663. Springer, Cham. https://doi.org/10.1007/978-3-031-16407-1_55

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  • DOI: https://doi.org/10.1007/978-3-031-16407-1_55

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  • Publisher Name: Springer, Cham

  • Print ISBN: 978-3-031-16406-4

  • Online ISBN: 978-3-031-16407-1

  • eBook Packages: Computer ScienceComputer Science (R0)

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