Cost-minimizing distributed algorithm for managing renewable-integrated power grids

We investigate the problem of power balancing in a general renewable-integrated power grid with storage and flexible loads. We consider a power grid that is supplied by one conventional generator (CG) and multiple renewable generators (RGs) each co-located with storage, and is additionally connected with external markets. An aggregator operates the power grid and aims at minimizing the long-term system cost. We propose a distributed real-time power balancing solution, taking into account the uncertainty of the renewable generation, loads, and energy prices. We demonstrate that our proposed algorithm is asymptotically optimal as the storage capacity increases and the CG ramping constraint loosens. The distributed implementation enjoys a fast convergence rate and enables each RG and the aggregator to make their own decisions.