Simulation-Based Valuation of Transactive Energy Systems

Transactive energy (TE) has been recognized as a promising technique for integrating responsive loads and distributed energy resources as well as advancing grid modernization. To help the industry better understand the value of TE and compare different TE schemes in a systematic and transparent manner, a comprehensive simulation-based TE valuation method is developed. The method has the following salient features: first, it formally defines the valuation scenarios, use cases, baseline, and valuation metrics; second, an open-source simulation platform for transactive energy systems has been developed by integrating transmission, distribution and building simulators, and plugin TE and non-TE agents through the framework for network cosimulation (FNCS); third, transparency and flexibility of the valuation is enhanced through separation of simulation and valuation, base valuation metrics, and final valuation metrics. A valuation example based on the smart grid interoperability panel use Case 1 is provided to demonstrate the developed TE simulation program and the valuation method.