Optimal composition of alternative energy sources to minimize power losses and maximize profits in distribution power network

Electrical power systems are transforming from the traditional centralized bulk systems, to more decentralized systems, with distributed generation installed close to demand consumption. Since several alternative energy technologies have become commercially available, distributed generators are often of a renewable nature. This paper proposes a two-stage approach to determine optimal alternative electricity generation mix. An optimal composition and capacities of generation units of different types are determined by means of the simplex method. Alongside with that, the problems of power losses minimization and voltage stability of distribution networks are also addressed. A backward-forward sweep method is applied for optimal sizing and placement of distributed energy resources. The IEEE 33-bus test system is employed to demonstrate the effectiveness of the proposed approach.