Coordinating Demand Response Aggregation with LV Network Operational Constraints

High shares of renewable energy resources are increasing the value of using demand response (DR) mechanisms to enhance the resiliency and efficiency of power system operation. In this context, residential DR is expected to become an increasingly important asset. In order to exploit this resource, DR aggregators are expected to combine the capabilities of a large group of householders and participate, as a single provider, in the electricity market. In doing so, it is imperative for aggregators to consider the operational constraints of the local network. Otherwise, the quality of the electricity service can be jeopardized and the true DR potential overestimated. This paper presents a novel methodology that integrates DR aggregators with distribution network operators for a secure and efficient scheduling and real-time operation of DR in residential radial feeders. The method is evaluated on a real unbalanced feeder where DR provision (from a mix of technologies) is coordinated with the network steady-state thermal and voltage limits. In this study, with the corresponding data seasonality and controllable devices, it is shown that complying with network operational constraints can impose, at certain times, a significant limit to the allocation of DR.