Framework for enhancing fairness and security in active distribution networks via transactive control signals

Abstract

With the development of peer-to-peer (P2P) energy trading, transactive energy markets (TEMs) face challenges such as ensuring fair access for market participants to the upstream grid and addressing limitations of distribution networks. To tackle these challenges, the distribution system operator (DSO) should incentivize market participants to contribute to their mitigation. To this end, this paper proposes a bi-level framework in which the DSO designs transactive control signals (TCSs) to influence the behavior of market participants. In this framework, fairness, security, and peak shaving signals are introduced at the upper level, while P2P energy trading is implemented at the lower level. The TCSs are calculated based on sensitivity analyses related to fair allocation and secure network operation constraints. As the results demonstrate, the goals of fairness and network security are achieved simultaneously. Moreover, while market participants effectively contribute to meeting technical objectives, their privacy is preserved.