Priority-Based Energy Scheduling in a Smart Distributed Network With Multiple Microgrids

This paper proposes a priority-based energy scheduling mechanism for a distributed network with multiple microgrids. Based on energy supply and demand mismatch, a role of buyer or seller is assigned to a microgrid. In the proposed mechanism, the distribution network management system (DNMS) gathers surplus energy from all sellers and distributes it among the buyers based on their optimal strategies. A novel method for calculating priority index (PI) is proposed in which the past contributions made by a microgrid and local load demand are considered as vital parameters. Each buyer decides its optimal strategy for buying energy from DNMS using optimal buyer strategy algorithm which gives Nash equilibrium solution of a noncooperative energy competition game. The DNMS allocates optimal energy to each buyer microgrid using an optimal DNMS decision algorithm. Energy allocated by the DNMS is directly proportional to the PI of the buyer. The proposed system is stable enough for real-time implementation in the electricity market.