Efficient Coordination of Wind Power and Price-Responsive Demand—Part I: Theoretical Foundations

In Part I of this two-part paper, we introduce several possible methods for integrating wind power, price-responsive demand and other distributed energy resources (DERs). These methods differ with respect to information exchange requirements, computational complexity, and physical implementability. A novel look-ahead interactive dispatch that internalizes inter-temporal constraints at the DERs level, and dispatches the results of distributed decisions subject to spatial security constraints, is proposed as a possible effective algorithm. This method requires only the use of today´s static security-constrained economic dispatch (SCED) by the system operators. The optimization accounting for inter-temporal constraints, and ramping rates in particular, is done by the DERs while they create their own supply and demand functions. To implement this method, today´s supervisory control and data acquisition (SCADA) needs to be transformed into a multi-directional, multi-layered information exchange system.