Stochastic Energy Management of grid-connected microgrid considering battery degradation cost and renewables penetration

In the wake of the increasing trend of microgrid technologies with high renewables integration, this paper proposes a detailed study of energy management (EM) strategy of a grid-connected microgrid to minimize the total operational cost allowing desirable power transaction with the primary distribution grid. The operational costs include the costs of the dispatchable distributed generations (DG), operational and degradation costs of the energy storage system, power transaction cost with the main grid, and maintenance cost of the non-dispatchable DGs. The distribution network operator offers variable electricity prices according to the variation in consumer demand with time. Therefore, a scenario generation and reduction method are utilized to model the uncertain attributes of renewable power generation, load demand, and electricity prices. The EM problem is carried out on a 33-bus test system, and simulation results are presented to validate the efficacy of the proposed method.