Evaluating demand response opportunities for power systems resilience using MILP and MINLP Formulations

doi:https://doi.org/10.1002/aic.16508

Title: Evaluating demand response opportunities for power systems resilience using MILP and MINLP Formulations

Abstract

While peak shaving is commonly used to reduce power costs, chemical process facilities that can reduce power consumption on demand during emergencies (e.g., extreme weather events) bring additional value through improved resilience. For process facilities to effectively negotiate demand response (DR) contracts and make investment decisions regarding flexibility, they need to quantify their additional value to the grid. We present a grid–centric mixed–integer stochastic programming framework to determine the value of DR for improving grid resilience in place of capital investments that can be cost prohibitive for system operators. We formulate problems using both a linear approximation and a nonlinear alternating current power flow model. Our numerical results with both models demonstrate that DR can be used to reduce the capital investment necessary for resilience, increasing the value that chemical process facilities bring through DR. Furthermore, the linearized model often underestimates the amount of DR needed in our case studies.

Authors:

^[1]; Castillo, Anya ^[2]; Watson, Jean -Paul ^[2]; Laird, Carl Damon ^[1]

Purdue Univ., West Lafayette, IN (United States); Sandia National Lab. (SNL-NM), Albuquerque, NM (United States)
Sandia National Lab. (SNL-NM), Albuquerque, NM (United States)

Publication Date:: 2018-12-29

Research Org.:: Sandia National Lab. (SNL-NM), Albuquerque, NM (United States); Sandia National Laboratories, Livermore, CA (United States)

Sponsoring Org.:: USDOE National Nuclear Security Administration (NNSA)

OSTI Identifier:: 1492800

Alternate Identifier(s):: OSTI ID: 1490559

Report Number(s):: SAND-2019-0430J
Journal ID: ISSN 0001-1541; 671568

Grant/Contract Number:: AC04-94AL85000

Resource Type:: Journal Article: Accepted Manuscript

Journal Name:: AIChE Journal

Additional Journal Information:: Journal Volume: 65; Journal Issue: 7; Journal ID: ISSN 0001-1541

Publisher:: American Institute of Chemical Engineers

Country of Publication:: United States

Language:: English

Subject:: 37 INORGANIC, ORGANIC, PHYSICAL, AND ANALYTICAL CHEMISTRY

Citation Formats


                    Bynum, Michael Lee, Castillo, Anya, Watson, Jean -Paul, and Laird, Carl Damon. Evaluating demand response opportunities for power systems resilience using MILP and MINLP Formulations.  United States: N. p., 2018. 
        Web.  doi:10.1002/aic.16508.

Copy to clipboard


                    Bynum, Michael Lee, Castillo, Anya, Watson, Jean -Paul, & Laird, Carl Damon. Evaluating demand response opportunities for power systems resilience using MILP and MINLP Formulations.  United States.  https://doi.org/10.1002/aic.16508

Copy to clipboard


                    Bynum, Michael Lee, Castillo, Anya, Watson, Jean -Paul, and Laird, Carl Damon. Sat .  
        "Evaluating demand response opportunities for power systems resilience using MILP and MINLP Formulations".  United States.  https://doi.org/10.1002/aic.16508.  https://www.osti.gov/servlets/purl/1492800.

Copy to clipboard


                    
@article{osti_1492800,

  title        = {Evaluating demand response opportunities for power systems resilience using MILP and MINLP Formulations},

  author       = {Bynum, Michael Lee and Castillo, Anya and Watson, Jean -Paul and Laird, Carl Damon},

  abstractNote = {While peak shaving is commonly used to reduce power costs, chemical process facilities that can reduce power consumption on demand during emergencies (e.g., extreme weather events) bring additional value through improved resilience. For process facilities to effectively negotiate demand response (DR) contracts and make investment decisions regarding flexibility, they need to quantify their additional value to the grid. We present a grid–centric mixed–integer stochastic programming framework to determine the value of DR for improving grid resilience in place of capital investments that can be cost prohibitive for system operators. We formulate problems using both a linear approximation and a nonlinear alternating current power flow model. Our numerical results with both models demonstrate that DR can be used to reduce the capital investment necessary for resilience, increasing the value that chemical process facilities bring through DR. Furthermore, the linearized model often underestimates the amount of DR needed in our case studies.},

  doi          = {10.1002/aic.16508},

  url          = {https://www.osti.gov/biblio/1492800},
  journal      = {AIChE Journal},

  issn         = {0001-1541},

  number       = 7,

  volume       = 65,

  place        = {United States},

  year         = {2018},

  month        = {12}

}

Copy to clipboard

Journal Article:

Free Publicly Available Full Text

Accepted Manuscript (Publisher)

Accepted Manuscript (DOE)

Publisher's Version of Record

https://doi.org/10.1002/aic.16508

Other availability

Search WorldCat to find libraries that may hold this journal

Citation Metrics:

Cited by: 2 works

Citation information provided by
Web of Science

Save / Share:

Export Metadata

Save to My Library

Works referenced in this record:

Tightening McCormick Relaxations Toward Global Solution of the ACOPF Problem
journal, January 2019

Bynum, Michael; Castillo, Anya; Watson, Jean-Paul
IEEE Transactions on Power Systems, Vol. 34, Issue 1
https://doi.org/10.1109/TPWRS.2018.2877099

Optimal scheduling of industrial combined heat and power plants under time-sensitive electricity prices
journal, June 2013

Mitra, Sumit; Sun, Lige; Grossmann, Ignacio E.
Energy, Vol. 54
https://doi.org/10.1016/j.energy.2013.02.030

Radial Distribution Load Flow Using Conic Programming
journal, August 2006

Jabr, R.A.
IEEE Transactions on Power Systems, Vol. 21, Issue 3, p. 1458-1459
https://doi.org/10.1109/TPWRS.2006.879234

Strong SOCP Relaxations for the Optimal Power Flow Problem
journal, December 2016

Kocuk, Burak; Dey, Santanu S.; Sun, X. Andy
Operations Research, Vol. 64, Issue 6
https://doi.org/10.1287/opre.2016.1489

A projection-based method for production planning of multiproduct facilities
journal, October 2009

Sung, Charles; Maravelias, Christos T.
AIChE Journal, Vol. 55, Issue 10
https://doi.org/10.1002/aic.11845

A cutting plane method for minimizing pseudo-convex functions in the mixed integer case
journal, December 2000

Pörn, Ray; Westerlund, Tapio
Computers & Chemical Engineering, Vol. 24, Issue 12
https://doi.org/10.1016/S0098-1354(00)00622-0

Air separation with cryogenic energy storage: Optimal scheduling considering electric energy and reserve markets
journal, February 2015

Zhang, Qi; Grossmann, Ignacio E.; Heuberger, Clara F.
AIChE Journal, Vol. 61, Issue 5
https://doi.org/10.1002/aic.14730

Analysis of Electric Grid Security Under Terrorist Threat
journal, May 2004

Salmeron, J.; Wood, K.; Baldick, R.
IEEE Transactions on Power Systems, Vol. 19, Issue 2
https://doi.org/10.1109/TPWRS.2004.825888

Using mixed-integer programming to solve power grid blackout problems
journal, March 2007

Bienstock, Daniel; Mattia, Sara
Discrete Optimization, Vol. 4, Issue 1
https://doi.org/10.1016/j.disopt.2006.10.007

Mixed-integer nonlinear optimization
journal, April 2013

Belotti, Pietro; Kirches, Christian; Leyffer, Sven
Acta Numerica, Vol. 22
https://doi.org/10.1017/S0962492913000032

Convexification of different classes of non-convex MINLP problems
journal, February 1999

Pörn, Ray; Harjunkoski, Iiro; Westerlund, Tapio
Computers & Chemical Engineering, Vol. 23, Issue 3
https://doi.org/10.1016/S0098-1354(98)00305-6

Optimal production planning under time-sensitive electricity prices for continuous power-intensive processes
journal, March 2012

Mitra, Sumit; Grossmann, Ignacio E.; Pinto, Jose M.
Computers & Chemical Engineering, Vol. 38
https://doi.org/10.1016/j.compchemeng.2011.09.019

Convex quadratic relaxations for mixed-integer nonlinear programs in power systems
journal, October 2016

Hijazi, Hassan; Coffrin, Carleton; Hentenryck, Pascal Van
Mathematical Programming Computation, Vol. 9, Issue 3
https://doi.org/10.1007/s12532-016-0112-z

Modeling of discrete/continuous optimization problems: characterization and formulation of disjunctions and their relaxations
journal, March 2003

Vecchietti, Aldo; Lee, Sangbum; Grossmann, Ignacio E.
Computers & Chemical Engineering, Vol. 27, Issue 3
https://doi.org/10.1016/S0098-1354(02)00220-X

Power system restoration — a bibliographical survey
journal, March 2001

Lindenmeyer, D.; Dommel, H. W.; Adibi, M. M.
International Journal of Electrical Power & Energy Systems, Vol. 23, Issue 3
https://doi.org/10.1016/S0142-0615(00)00061-2

An Automatic Method of Solving Discrete Programming Problems
journal, July 1960

Land, A. H.; Doig, A. G.
Econometrica, Vol. 28, Issue 3
https://doi.org/10.2307/1910129

Statistical Models of the Effects of Tree Trimming on Power System Outages
journal, July 2006

Guikema, S. D.; Davidson, R. A.; Liu, H.
IEEE Transactions on Power Delivery, Vol. 21, Issue 3
https://doi.org/10.1109/TPWRD.2005.860238

An optimization mode for industrial load management
journal, January 2001

Ashok, S.; Banerjee, R.
IEEE Transactions on Power Systems, Vol. 16, Issue 4
https://doi.org/10.1109/59.962440

A tree-search algorithm for mixed integer programming problems
journal, March 1965

Dakin, R. J.
The Computer Journal, Vol. 8, Issue 3
https://doi.org/10.1093/comjnl/8.3.250

An adjustable robust optimization approach to scheduling of continuous industrial processes providing interruptible load
journal, March 2016

Zhang, Qi; Morari, Michael F.; Grossmann, Ignacio E.
Computers & Chemical Engineering, Vol. 86
https://doi.org/10.1016/j.compchemeng.2015.12.018

Research on Resilience of Power Systems Under Natural Disasters—A Review
journal, March 2016

Wang, Yezhou; Chen, Chen; Wang, Jianhui
IEEE Transactions on Power Systems, Vol. 31, Issue 2
https://doi.org/10.1109/TPWRS.2015.2429656

New Formulation and Strong MISOCP Relaxations for AC Optimal Transmission Switching Problem
journal, November 2017

Kocuk, Burak; Dey, Santanu S.; Sun, Xu Andy
IEEE Transactions on Power Systems, Vol. 32, Issue 6
https://doi.org/10.1109/TPWRS.2017.2666718

A trilevel programming approach for electric grid defense planning
journal, January 2014

Alguacil, Natalia; Delgadillo, Andrés; Arroyo, José M.
Computers & Operations Research, Vol. 41
https://doi.org/10.1016/j.cor.2013.06.009

Vulnerability-Constrained Transmission Expansion Planning: A Stochastic Programming Approach
journal, November 2007

Carrion, Miguel; Arroyo, JosÉ Manuel; Alguacil, Natalia
IEEE Transactions on Power Systems, Vol. 22, Issue 4
https://doi.org/10.1109/TPWRS.2007.907139

Demand response modeling considering Interruptible/Curtailable loads and capacity market programs
journal, January 2010

Aalami, H. A.; Moghaddam, M. Parsa; Yousefi, G. R.
Applied Energy, Vol. 87, Issue 1
https://doi.org/10.1016/j.apenergy.2009.05.041

MATPOWER: Steady-State Operations, Planning, and Analysis Tools for Power Systems Research and Education
journal, February 2011

Zimmerman, Ray Daniel; Murillo-Sanchez, Carlos Edmundo; Thomas, Robert John
IEEE Transactions on Power Systems, Vol. 26, Issue 1
https://doi.org/10.1109/TPWRS.2010.2051168

Global Solution Strategies for the Network-Constrained Unit Commitment Problem With AC Transmission Constraints
journal, March 2019

Liu, Jianfeng; Laird, Carl D.; Scott, Joseph K.
IEEE Transactions on Power Systems, Vol. 34, Issue 2
https://doi.org/10.1109/TPWRS.2018.2876127

An Efficient Tri-Level Optimization Model for Electric Grid Defense Planning
journal, July 2017

Wu, Xuan; Conejo, Antonio J.
IEEE Transactions on Power Systems, Vol. 32, Issue 4
https://doi.org/10.1109/TPWRS.2016.2628887

Power system restoration planning
journal, January 1994

Adibi, M. M.; Fink, L. H.
IEEE Transactions on Power Systems, Vol. 9, Issue 1
https://doi.org/10.1109/59.317561

On interval-subgradient and no-good cuts
journal, September 2010

D’Ambrosio, Claudia; Frangioni, Antonio; Liberti, Leo
Operations Research Letters, Vol. 38, Issue 5
https://doi.org/10.1016/j.orl.2010.05.010

Risk analysis and management in power outage and restoration: A literature survey
journal, February 2014

Castillo, Anya
Electric Power Systems Research, Vol. 107
https://doi.org/10.1016/j.epsr.2013.09.002

On the implementation of an interior-point filter line-search algorithm for large-scale nonlinear programming
journal, April 2005

Wächter, Andreas; Biegler, Lorenz T.
Mathematical Programming, Vol. 106, Issue 1
https://doi.org/10.1007/s10107-004-0559-y

Robust integer optimization and scheduling problems for large electricity consumers
conference, June 2012

Vujanic, R.; Mariethoz, S.; Goulart, P.
2012 American Control Conference - ACC 2012, 2012 American Control Conference (ACC)
https://doi.org/10.1109/ACC.2012.6314921

Tight Piecewise Convex Relaxations for Global Optimization of Optimal Power Flow
conference, June 2018

Lu, Mowen; Nagarajan, Harsha; Bent, Russell
2018 Power Systems Computation Conference (PSCC)
https://doi.org/10.23919/PSCC.2018.8442456

Trends in the history of large blackouts in the United States
conference, July 2008

Hines, Paul; Apt, Jay; Talukdar, Sarosh
2008 IEEE Power and Energy Society General Meeting - Conversion and Delivery of Electrical Energy in the 21st Century
https://doi.org/10.1109/PES.2008.4596715

Works referencing / citing this record:

AIChE Journal Special PSE issue on sustainable energy
journal, November 2018

Daoutidis, Prodromos; Mitsos, Alexander
AIChE Journal, Vol. 65, Issue 7
https://doi.org/10.1002/aic.16630

Similar records in OSTI.GOV collections:

Regulatory Incentives and Disincentives for Utility Investments in Grid Modernization

Technical Report Kihm, Steve ; Beecher, Janice ; Lehr, Ronald L.

Electric power is America's most capital-intensive industry, with more than $100 billion invested each year in energy infrastructure. Investment needs are likely to grow as electric utilities make power systems more reliable and resilient, deploy advanced digital technologies, and facilitate new services to meet some consumers' expectations for greater choice and control. But do current regulatory approaches provide the appropriate incentives for grid modernization investments? This report presents three perspectives: -Financial analyst Steve Kihm begins by explaining that any major investor-owned electric utility that wants to raise capital today can do so at a reasonable cost. The question is whethermore »« less
https://doi.org/10.2172/1393623

Full Text Available
Proactive Operations and Investment Planning via Stochastic Optimization to Enhance Power Systems Extreme Weather Resilience

Journal Article Bynum, Michael ; Staid, Andrea ; Arguello, Bryan ; ... - Optimization Online Repository

We present novel stochastic optimization models to improve power systems resilience to extreme weather events. We consider proactive redispatch, transmission line hardening, and transmission line capacity increases as alternatives for mitigating expected load shed due to extreme weather. Our model is based on linearized or "DC" optimal power flow, similar to models in widespread use by independent system operators (ISOs) and regional transmission operators (RTOs). Our computational experiments indicate that proactive redispatch alone can reduce the expected load shed by as much as 25% relative to standard economic dispatch. This resiliency enhancement strategy requires no capital investments and is implementablemore »« less
Full Text Available
New York Solar Smart DG Hub-Resilient Solar Project: Economic and Resiliency Impact of PV and Storage on New York Critical Infrastructure

Technical Report Anderson, Kate ; Burman, Kari ; Simpkins, Travis ; ...

Resilient PV, which is solar paired with storage ('solar-plus-storage'), provides value both during normal grid operation and power outages as opposed to traditional solar PV, which functions only when the electric grid is operating. During normal grid operations, resilient PV systems help host sites generate revenue and/or reduce electricity bill charges. During grid outages, resilient PV provides critical emergency power that can help people in need and ease demand on emergency fuel supplies. The combination of grid interruptions during recent storms, the proliferation of solar PV, and the growing deployment of battery storage technologies has generated significant interest in usingmore »« less
https://doi.org/10.2172/1262662

Full Text Available
Energy Efficiency and Distributed Generation for Resilience: Withstanding Grid Outages for Less

Program Document

Communities across the United States experience extreme weather-related events that lead to disruptions in electric service. In 2017 alone, the nation experienced droughts, floods, freezes, hurricanes, and wildfires that cumulatively cost over $300 billion in damages and led to longer and more frequent disruptions in power. Without on-site backup power, these disruptions endanger public safety, security, and health. To better prepare for future disruptions, state and local governments are reducing the electric demand of their critical operations through energy efficiency, as well as making new investments in microgrids with distributed generation to ensure continuous electric supply during extended grid outagesmore »« less
Full Text Available
Utilising demand response for distribution service restoration to achieve grid resiliency against natural disasters

Journal Article Hafiz, Faeza ; Chen, Bo ; Chen, Chen ; ... - IET Generation, Transmission, & Distribution

The increased frequency of power outages due to natural disasters in recent years has highlighted the urgency of enhancing distribution grid resilience. The effective distribution service restoration (DSR) is an important measure for a resilient distribution grid. In this work, the authors demonstrate that DSR can be significantly improved by leveraging the flexibility provided by the inclusion of demand response (DR). The authors propose a framework for this by considering integrated control of household-level flexible appliances to vary the load demand at the distribution-grid level to improve DSR. The overall framework of the proposed system is modelled as a three-stepmore »« less
Cited by 1
https://doi.org/10.1049/iet-gtd.2018.6866

Full Text Available

Similar Records

Title: Evaluating demand response opportunities for power systems resilience using MILP and MINLP Formulations

Abstract

Citation Formats

Tightening McCormick Relaxations Toward Global Solution of the ACOPF Problem journal, January 2019

Optimal scheduling of industrial combined heat and power plants under time-sensitive electricity prices journal, June 2013

Radial Distribution Load Flow Using Conic Programming journal, August 2006

Strong SOCP Relaxations for the Optimal Power Flow Problem journal, December 2016

A projection-based method for production planning of multiproduct facilities journal, October 2009

A cutting plane method for minimizing pseudo-convex functions in the mixed integer case journal, December 2000

Air separation with cryogenic energy storage: Optimal scheduling considering electric energy and reserve markets journal, February 2015

Analysis of Electric Grid Security Under Terrorist Threat journal, May 2004

Using mixed-integer programming to solve power grid blackout problems journal, March 2007

Mixed-integer nonlinear optimization journal, April 2013

Convexification of different classes of non-convex MINLP problems journal, February 1999

Optimal production planning under time-sensitive electricity prices for continuous power-intensive processes journal, March 2012

Convex quadratic relaxations for mixed-integer nonlinear programs in power systems journal, October 2016

Modeling of discrete/continuous optimization problems: characterization and formulation of disjunctions and their relaxations journal, March 2003

Power system restoration — a bibliographical survey journal, March 2001

An Automatic Method of Solving Discrete Programming Problems journal, July 1960

Statistical Models of the Effects of Tree Trimming on Power System Outages journal, July 2006

An optimization mode for industrial load management journal, January 2001

A tree-search algorithm for mixed integer programming problems journal, March 1965

An adjustable robust optimization approach to scheduling of continuous industrial processes providing interruptible load journal, March 2016

Research on Resilience of Power Systems Under Natural Disasters—A Review journal, March 2016

New Formulation and Strong MISOCP Relaxations for AC Optimal Transmission Switching Problem journal, November 2017

A trilevel programming approach for electric grid defense planning journal, January 2014

Vulnerability-Constrained Transmission Expansion Planning: A Stochastic Programming Approach journal, November 2007

Demand response modeling considering Interruptible/Curtailable loads and capacity market programs journal, January 2010

MATPOWER: Steady-State Operations, Planning, and Analysis Tools for Power Systems Research and Education journal, February 2011

Global Solution Strategies for the Network-Constrained Unit Commitment Problem With AC Transmission Constraints journal, March 2019

An Efficient Tri-Level Optimization Model for Electric Grid Defense Planning journal, July 2017

Power system restoration planning journal, January 1994

On interval-subgradient and no-good cuts journal, September 2010

Risk analysis and management in power outage and restoration: A literature survey journal, February 2014

On the implementation of an interior-point filter line-search algorithm for large-scale nonlinear programming journal, April 2005

Robust integer optimization and scheduling problems for large electricity consumers conference, June 2012

Tight Piecewise Convex Relaxations for Global Optimization of Optimal Power Flow conference, June 2018

Trends in the history of large blackouts in the United States conference, July 2008

AIChE Journal Special PSE issue on sustainable energy journal, November 2018

Tightening McCormick Relaxations Toward Global Solution of the ACOPF Problem
journal, January 2019

Optimal scheduling of industrial combined heat and power plants under time-sensitive electricity prices
journal, June 2013

Radial Distribution Load Flow Using Conic Programming
journal, August 2006

Strong SOCP Relaxations for the Optimal Power Flow Problem
journal, December 2016

A projection-based method for production planning of multiproduct facilities
journal, October 2009

A cutting plane method for minimizing pseudo-convex functions in the mixed integer case
journal, December 2000

Air separation with cryogenic energy storage: Optimal scheduling considering electric energy and reserve markets
journal, February 2015

Analysis of Electric Grid Security Under Terrorist Threat
journal, May 2004

Using mixed-integer programming to solve power grid blackout problems
journal, March 2007

Mixed-integer nonlinear optimization
journal, April 2013

Convexification of different classes of non-convex MINLP problems
journal, February 1999

Optimal production planning under time-sensitive electricity prices for continuous power-intensive processes
journal, March 2012

Convex quadratic relaxations for mixed-integer nonlinear programs in power systems
journal, October 2016

Modeling of discrete/continuous optimization problems: characterization and formulation of disjunctions and their relaxations
journal, March 2003

Power system restoration — a bibliographical survey
journal, March 2001

An Automatic Method of Solving Discrete Programming Problems
journal, July 1960

Statistical Models of the Effects of Tree Trimming on Power System Outages
journal, July 2006

An optimization mode for industrial load management
journal, January 2001

A tree-search algorithm for mixed integer programming problems
journal, March 1965

An adjustable robust optimization approach to scheduling of continuous industrial processes providing interruptible load
journal, March 2016

Research on Resilience of Power Systems Under Natural Disasters—A Review
journal, March 2016

New Formulation and Strong MISOCP Relaxations for AC Optimal Transmission Switching Problem
journal, November 2017

A trilevel programming approach for electric grid defense planning
journal, January 2014

Vulnerability-Constrained Transmission Expansion Planning: A Stochastic Programming Approach
journal, November 2007

Demand response modeling considering Interruptible/Curtailable loads and capacity market programs
journal, January 2010

MATPOWER: Steady-State Operations, Planning, and Analysis Tools for Power Systems Research and Education
journal, February 2011

Global Solution Strategies for the Network-Constrained Unit Commitment Problem With AC Transmission Constraints
journal, March 2019

An Efficient Tri-Level Optimization Model for Electric Grid Defense Planning
journal, July 2017

Power system restoration planning
journal, January 1994

On interval-subgradient and no-good cuts
journal, September 2010

Risk analysis and management in power outage and restoration: A literature survey
journal, February 2014

On the implementation of an interior-point filter line-search algorithm for large-scale nonlinear programming
journal, April 2005

Robust integer optimization and scheduling problems for large electricity consumers
conference, June 2012

Tight Piecewise Convex Relaxations for Global Optimization of Optimal Power Flow
conference, June 2018

Trends in the history of large blackouts in the United States
conference, July 2008

AIChE Journal Special PSE issue on sustainable energy
journal, November 2018