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DER integration through a monopoly DER aggregator / Hatziargyriou, Nikos D; Asimakopoulou, Georgia E   Journal Article
Hatziargyriou, Nikos D Journal Article
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Summary/Abstract The radical changes that the electricity systems undergo due to environmental concerns and technological developments inevitably formulate new conditions for all actors in the electricity market: new market roles for existing actors as well as new actors with roles yet to be defined. The role of citizens as active market participants becomes central in the energy transition. This is empowered by the rapid increase in the penetration of Distributed Energy Resources (DER) comprising mainly distributed generators and flexible demand. The way DER will participate in the energy markets is of utmost importance, since this will critically affect the on-going decentralization of the energy system. In this paper three fundamental models for DER integration in the market procedures are presented: direct DER participation, management through set-points or through price signals by a monopoly non-profit LEC or by a profit-maximizing monopoly aggregator, respectively. The models are formulated as optimization programming problems solved using commercially available software. Their evaluation is based on the study of several cost scenarios and their impact on significant indices that reveal the effect of the different market designs to the market participants.
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