This paper proposes a trilateral bilevel stochastic mixed integer bilevel linear programming (MIBLP) model to handle a joint master-slave operation-planning problem. This model considers the interactions among an integrated community energy system (ICES), prosumers, and the wholesale electricity market (WM). The ICES, in the upper level, makes a joint optimal photovoltaic (PV) and energy storage system plan taking into account the concurrent interactions with the WM and prosumers to maximize its profit. On the other hand, in the lower level, the prosumers aim at minimizing their bills via an optimal PV-package sizing while interacting with the ICES and the WM simultaneously. The strong duality theorem is used to recast this MIBLP model into an equivalent single-level model. Since the lower level is also an operation-planning problem, this recast results in a mixed integer nonlinear programming (MINLP) model that prevents finding a satisfactory solution. To remedy this issue, sensitivity analysis and a separation-based linearization technique are applied. Numerical results illustrate the effective performance of the proposed business model while providing valuable information for the ICES and consumers.
- Energy storage device
- Integrated community energy system
- Planning problem
- Renewable energy