Energy Management for Demand Responsive Users with Shared Energy Storage System

TL;DR

This paper presents an iterative energy management algorithm for self-interested users sharing an energy storage system, enabling cost reduction while preserving privacy, and compares it with a cooperative benchmark using realistic data.

Contribution

It introduces a novel iterative coordination algorithm for self-interested users sharing energy storage, balancing cost savings and privacy preservation.

Findings

The algorithm reduces individual energy costs effectively.

Shared energy storage improves overall system efficiency.

Simulation results validate the approach with real-world data.

Abstract

This paper investigates the energy management problem for multiple self-interested users, each with renewable energy generation as well as both the fixed and controllable loads, that all share a common energy storage system (ESS). The self-interested users are willing to sell/buy energy to/from the shared ESS if they can achieve lower energy costs compared to the case of no energy trading while preserving their privacy e.g. sharing only limited information with a central controller. Under this setup, we propose an iterative algorithm by which the central controller coordinates the charging/discharging values to/from the shared ESS by all users such that their individual energy costs reduce at the same time. For performance benchmark, the case of cooperative users that all belong to the same entity is considered, where they share all the required information with the central controller so as to minimize their total energy cost. Finally, the effectiveness of our proposed algorithm in simultaneously reducing users' energy costs is shown via simulations based on realistic system data of California, US.