Advanced models and algorithms for demand participation in electricity markets

This paper proposes a novel Energy Aggregator model responsible for managing the flexibility of low voltage customers in order to reduce electricity costs. The flexibility of the customers is represented by the availability of their controllable loads to reduce/increase power consumption. The flexible loads are managed according to the customers' preferences and the technical limitations of the flexible loads. The Energy Aggregator model developed includes an algorithm designed to manage customers' flexibility in quasi-real-time, with the objective of minimizing the deviations from the energy bought by the aggregator in the market. A scenario with 30 households located in a semi-urban area is used to illustrate the application of the algorithm and validate the proposed approach.