Virtual Power Plant as a Demand Response Aggregator

A Virtual Power Plant (VPP) holds the possibility to amalgamate the capacities of diverse distributed energy resources, whether derived from Renewable Energy Sources (RESs) or fossil fuels or Demand Response (DR) capacities. The effective functioning of Virtual Power Plants (VPPs) is closely tied to the unpredictable nature of primary sources in renewable energy. Additionally, the swift fluctuations in electricity consumption can complicate the task of balancing power generation with load demands. To address these challenges, a viable approach involves integrating flexible demands as a unified envoy within the power system. The concept revolves around consolidating individual Demand Response programs in a coordinated and intelligent manner, effectively mimicking a small-scale power plant within the VPP framework. These controllable loads possess the capability to adjust their behaviour in response to directives received from the DSO, offering a strategic solution to the inherent uncertainties associated with renewable energy resources. The presented paradigm is mathematically adjusted as a Mixed Integer Linear Programming (MILP), ensuring the attainment of the global optimum solution. To assess its effectiveness, the model is employed on the IEEE 33-BUS distribution test grid. The effects substantiate the Virtual Power Plant’s capability to aggregate demand response capacities seamlessly as a unified entity for Distribution System Operator (DSO).