Optimization of Distributed Energy Resources in Distribution Networks: Applications of Convex Optimal Power Flow Formulations in Distribution Networks

The increasing penetration of distributed energy resources (DER) has imposed several challenges in the analysis and operation distribution networks. In the last decade, the implementation of battery energy storage systems (BESS) in electric networks has caught the interest in research since the results have shown multiple positive effects when deployed optimally. However, a complex formulation of the optimization problem regarding DER implementations can easly become nonconvex, thus limiting the scope of the results (quality) and affecting the computational efficiency. In this paper, convex formulations of the optimal power flow (OPF) problem for DER (PV and BESS) installations in San Andres distribution network were implemented to minimize power losses. Four main simulation cases were stablished covering convex power flow analysis, convex optimal power flow to locate and size dispatchable and nondispatchable DER (PV) with demand and irradiation profiles, and the inclusion of aggregated and distributed PV and BESS systems. The computational realization of those formulations was made with three different software packages: CVX in python, CPLEX, and MATLAB (MATPOWER/PSO). The results show that installing DER capacity (both PV and/or BESS) can substantially improve the power losses in distribution networks, especially if considered distributed instead of aggregated, achieving reductions up to 75% for power losses and up to 57% for conventional generation utilization. Besides power losses, it was observed that optimal DER (PV and BESS) implementations behaved similarly as demand response signals do, potentially increasing economic benefits for DISCOs. In terms of computational efficiency, convex formulations help substantially to reduce computation times, especially if scalability is to be considered when distributed DER installations were studied.