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A multi-agent system for energy trading between prosumers

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HAL Id: cea-01772854

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Submitted on 24 Oct 2019

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A multi-agent system for energy trading between

prosumers

Meritxell Vinyals, Maxime Velay, Mario Sisinni

To cite this version:

Meritxell Vinyals, Maxime Velay, Mario Sisinni. A multi-agent system for energy trading between

prosumers. 14th International Conference on Distributed Computing and Artificial Intelligence, DCAI

2017., Jun 2017, Porto, Portugal. pp.79-86, �10.1007/978-3-319-62410-5_10�. �cea-01772854�

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A multi-agent system for energy trading

between prosumers

Meritxell Vinyals1, Maxime Velay1, and Mario Sisinni2 1 CEA, LIST, 91191 Gif-sur-Yvette, France

meritxell.vinyals@cea.fr, maxime.velay@cea.fr

2 R2M Solution, F-91405 Pavia, Italy

mario.sisinni@r2msolution.com

Abstract. Local energy communities are identified as a promising

ap-proach to efficiently integrate distributed generation whereas keeping costs down for prosumers. In this context, we propose a multi-agent sys-tem to collectively optimise the energy flows of a local community of prosumers. The novelty and strength of our approach resides in the use of decentralised decision making algorithms, based on the alternating di-rection method of multipliers, to orchestrate the demand and supply of a large number of homes. Our preliminary results show how the proposed approach can significantly increase the self-consumption level of the com-munity while significantly reducing the energy bills of its members.

Keywords: multi-agent systems, distributed optimisation, local energy exchange, alternating direction method of multipliers, prosumer community.

1

Introduction

Smaller commercial and residential customers account for between one-third and one-half of the total electricity consumption in many markets and represent the greatest need and opportunity for demand response [3]. Furthermore, more and more consumers are becoming prosumers (i.e. producing their own energies with renewable green technologies such as solar energy) and the trend is expected to continue with all new construction being able to produce energy on-site.3 However, since distribution networks are traditionally not designed to cope with large amounts of generation, increasing distributed generation (DG) is expected to create congestion and voltage problems if not properly handled. In this con-text, local energy communities (LECs) are identified as a promising approach to integrate DG whereas maintaining energy security and keeping costs down for consumers [7]. In such communities, prosumers can locally trade their excess of energy, reducing in this way the transmission losses which occurs over long dis-tances and making the system as a whole more efficient. Indeed, we can already find across EU some real examples of successful LECs, as for example the EWS Sch¨onau4in Germany, or the REScoop 20-20-20 project5 in Belgium.

3 The EU Parliament’s Committee on Industry, Research, and Energy declared that

all buildings built after 2018 will be able to produce their own energy on-site.

4 https://www.ews-schoenau.de/ews/international/ 5 https://rescoop.eu/

© Springer International Publishing AG 2018

S. Omatu et al. (eds.), Distributed Computing and Artificial Intelligence, 14th International Conference, Advances in Intelligent Systems and Computing 620, DOI 10.1007/978-3-319-62410-5_10

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Nevertheless several research challenges remain to be addressed before the widespread of these local energy communities can take place. First, it is cru-cial for the success of such communities to provide prosumers with individual

incentives to reward their participation. For example, recent studies stated that

51% of people interviewed would be motivated to get involved in community en-ergy if they could save money in their enen-ergy bill [4]. However, more traditional approaches for trading locally produced energy have focused on optimizing the overall system, generating solutions that may result in weak financial incentives of some prosumers [1, 9]. Second, prosumers will only be comfortable sharing their data if they are confident that these are stored securely and exchange in a way that safeguards their privacy. Last but not least, the distribution level of next generation electric grids will include a large number of active devices, whose control and scheduling significantly increases the complexity of the corresponding energy management problem compared to traditional grids [2, 6]. Consequently, traditional approaches that commonly solve this problem in a centralised fashion will become computationally impractical due to its lack of scalability.

In this paper we address these challenges by proposing a Multi-Agent Sys-tem (MAS) to collectively optimise the energy flows of a local community of prosumers. The decentralised decision making is based on the Alternative Di-rection Method of Multipliers (ADMM) algorithm. As we show in Section 3, the ADMM protocol enables a multi-period local market, where the preferences of the prosumers and their cost structures are reflected in their private utility functions and the interactions between them take place through price signals. Concretely, this paper makes the following contributions:

1. We model the local energy exchange problem by means of an energy coop-erative network.

2. We distribute this cooperative network among different agents and we use the ADMM algorithm as a coordination mechanism among these agents. 3. We empirically evaluate our approach via simulations. Our results show how

the proposed approach can significantly increase the self-consumption of the community of prosumers whereas appreciably reducing their energy bill. This paper is structured as follows. We first give, in Section 2, some background on energy coordination networks and the ADMM algorithm. Afterwards (Section 3) we present the MAS local energy exchange model. Finally, we validate the proposed approach in simulation (Section 4), to later conclude in Section 5.

2

Background

2.1 Energy coordination networks

A cooperation network [8] is composed of a set of actors, A, a set of nets, N , and a set of terminals, T . A terminal is a connection point, a connection between one actor and one net. This is depicted in Fig. 1 where nets are represented by grey dashed rectangles, terminals are represented by lines and actors by circles. In an energy coordination network, a net is an agent that represents a virtual

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