Shapley value-based techno-economic framework for harmonic and loss mitigation

Abstract

This study presents a multi-objective policy for harmonic distortion and loss mitigation in micro-grid and active distribution grid. The implementation of this policy in networks including Distributed Generation (DG), is put forward based on the determination of the locational marginal price of each DG bus, considering their impacts on the loss and harmonic mitigation. In this process, each DG receives an incentive in the form of price increment, based on the Aumann-Shapley value game-theoretic method as an iterative algorithm, considering the effectiveness of reducing loss or harmonic distortion. Furthermore, as a decision-making tool, the operator can change the contribution of the incentives used to mitigate the loss or harmonic distortion and make an appropriate estimation for the next step conditions. The simulations are organized based on real data on the modified Taiwan Power Company grid (TPC). The modified TPC consists of renewable energy sources (RES) and fossil-fuel based DG units. Also, to achieve a realistic framework, generation of RES, loads, and market prices are considered as uncertain parameters. The results demonstrate the competence of the proposed method for the TPC network in terms of triple pricing methods comparison, total loss reduction, harmonic mitigation, and merchandising surplus controlling.