Peer-to-peer energy transactioning –a DSO-centric proposal

As the penetration of distributed energy resources in low voltage distribution systems continue, the risk that their integration presents to the smooth operation of power networks continues to rise. This is because, unlike traditional generation, renewable resources are unpredictable and generally attached to less flexible parts of the power transmission network. The solution is to encourage customers to make decisions in their usage of the power distribution network that ultimately helps keep the system stable and allow further distributed energy resources to be integrated into the network. In this context, a new peer-to-peer energy trading market is proposed, which offers prosumers an incentive to reduce trades between peers with high Impedance between them. These are usually peers located furthest from one another; this helps reduce line losses and congestion on the network. The market designed marketplace uses topology and impedance identification methods to calculate a fee reduction for each trade completed on the market. In addition, the market will use a continuous double auction clearing method to pair buyers and sellers efficiently while allowing them the opportunity to maximize the benefits they receive from taking part in the peer-to-peer market. Finally, power flow tracing is proposed to allow participants to see how their power flows through the network. The designed flow tracing graph will allow them the satisfaction of knowing that the power is being sent to/received from their trade partner, giving increased confidence in the peer-to-peer market.