Decentralized synergetic dispatch of prosumer-based interconnected microgrids

Conventional centralized dispatch has inherent drawbacks to handle the increasing penetration of distributed generation in distribution systems. This paper discusses a decentralized synergetic dispatch paradigm for prosumer-based interconnected microgrids, in which a prosumer is defined as an autonomous agent that can produce, consume, and store electricity. We consider a double-sided market mechanism and propose a two-level optimization approach to realize the decentralized synergetic dispatch paradigm. In the lower-level, each microgrid (MG) calculates its own local marginal price (LMP) and exchanges the supply or demand curve with adjacent microgrids for synergetic operation. In the upper-level, a primal-dual interior-point method is employed to optimize the injection powers of MGs and the flows through the tie-lines. The validity and effectiveness of the proposed approach are demonstrated on a medium-voltage 18-bus distribution system.