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Smart energy coordination of autonomous residential home

N.T. Mbungu1*, Ramesh C. Bansal2, Raj M. Naidoo1
1
Department of Electrical, Electronics and Computer Engineering, University of Pretoria, Pretoria, South Africa
2
Department of Electrical and Computer Engineering, University of Sharjah, Sharjah, United Arab Emirates
*
mbungunsilulu@gmail.com

Abstract: The smart grid technology permits the revolution of the electrical system from a conventional power grid to an
intelligent power network which has led the improvements in electrical system in terms of energy efficiency and
sustainable energy integration. This paper presents the energy management/coordination scheme for domestic demand
using the key strategy of smart grid energy efficiency modelling. The structure consists of combining renewable energy
resources, Photovoltaic (PV) and wind power generation connected to the utility grid with energy storage system (ESS) in
an optimal control manner to coordinate the power flow of a residential home. Based on the demand response (DR)
schemes in the framework of real-time electricity pricing, this work designs a closed-loop optimal control strategy that is
created by the dynamic model of the ESS to compute the system performance index, which is formulated by the cost of
the energy flows. A dynamic distributed energy storage strategy (DDESS) is implemented to optimally coordinate the
energy system, which reduces the total energy consumption from the main grid of more than 100% of the load demand.
The designed model introduces a payback scheme while robustly optimising the energy flows and minimising the utility
grid’s energy consumption cost.

NOMENCLATURE 1. Introduction
The energy coordination or management strategy has
Indices introduced power flow improvement on the electrical power
indices of charging and discharging of system. From generation to the consumption of electricity,
c (ch), dc(disc) managing energy is becoming one of the most important
the battery
b, op indices of battery and opportunity strategies to enhance the sustainability of the electrical grid
indices of the utility grid, inverter and [1]. Since the last decade, the complexity of the utility power
gr(ut), inv, d grid has required several steps of monitoring, control and
demand
indices of photovoltaic (PV), wind protection scheme in real time to improve the overall
pv, wt, avg efficiency of the electrical system [2]. The energy system has
turbine and average
max, min indices of maximum and minimum become increasingly complex due to energy demand growth,
energy generation insufficiency and inaccessibility of the
Parameters and constants utility grid to several people globally. The integration of
A area (wind turbine swept area, PV area) renewable energy resources (RERs) permits the utility to
CB capacity of battery solve some technical issues [3]. Due to generation uncertainty
CP coefficient of wind turbine performance [4], renewable energy creates several challenges on the
Ha hours of autonomy of the battery quality of the power flows into the electrical system [5],[6].
N, Nc time horizon and control horizon Nevertheless, energy management assists in solving these
pr real-time electricity pricing problems.
ρair air density
1.1 Motivation
Variables The smart grid technology is considered as one of the
main solutions to several challenging questions of the current
C cost power grid. The intelligent electrical system assists in
E energy handling uncertainties in schedules and power transfers
Δt time variation across sections. By integrating RERs, optimising the transfers’
J objective function capability of the transmission and distribution networks and
I solar irradiance measured on the PV meeting the demand requirements for increased quality and
k sampling of time of control horizon reliable supply, the smart grid also introduces a path to
 efficacity
manage and solve unpredictable events and uncertainties in
operations and planning more aggressively. The smart grid
P puissance
technology is based on real-time control implementation to
t time
improve the reliability, security and efficiency of the
V average wind velocity
electrical grid. The intelligent grid environment operates
from small/large scale energy generation to the consumers

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and guarantees the accommodating increase of distributed
generation (DG) and ESS efficiently [7].
1.2 Literature survey
Energy efficiency on a smart grid system reduces the
overall cost of power and secures the power flow
coordination between the energy supply and demand. Several
strategies have recently been implemented to effectively
manage the energy flow on the different types of the electrical
system; from residential usage to industrial consumption [8],
[9]–[16].
In [8] an optimal control strategy for residential usage
is designed inside the advanced metering infrastructure to
control variable load demand intelligently. To improve the
effectiveness of energy consumption, the proposed model
needs to incorporate RERs to increase system efficiency. In
[17], an intelligent system is presented to evaluate the cost
saving of residential energy consumption when three
appliances and four pricing schemes are considered. The
proposed model implements an optimisation strategy of two
stages based on mixed integer linear programming. These two
stages aim to firstly schedule the power in each appliance and
then estimate the energy price of each appliance. In [18], a
decentralised strategy is introduced to coordinate the load
consumption of a residential home based on demand response.
The proposed model seeks to develop an intelligent strategy
of reducing end users’ electricity bills without compromising
their comfort and privacy. The model also embeds several,
autonomous home energy management systems using smart
distribution system. This scheme contains the distribution
energy service which combines electricity and
communication networks. Nevertheless, designed systems do
not consider the integration of sustainable energy such as
wind, PV, etc.
Furthermore, the evolution of the smart grid provides
a platform for efficient integration of RERs into the utility
grid. In [19], a load reduction model based on a self-decision
making method is designed using a multi-agent system. The
objective of the proposed strategy is to consider the
coordination of the upstream grid, RER and DR schemes so
that the stress from the peak load on the feeder can be
minimised. In [20], a smart home energy coordination system
is proposed. The model combines small scale PV generation
with the utility grid using smart metering that collects data
and controls the allocated power consumption. The proposed
approach operates in two stages-based grid operator and
smart scheduler, which can optimise the energy demand from
the utility grid and improve the efficiency of the home’s
electricity usage.
Residential home energy management of a smart grid
is a practical solution that assists users to deal with the
complexity of dynamic electricity pricing scheme [9].
Additionally, residential energy flow coordination permits
the integration of sustainable energy resources. The
management of the energy flow for a suburban home is very
complex. This mostly depends on the different types of load
demand that can be found in residential sectors and their time
of operation as well as the availability of renewable energy
resources when they are integrated into the power distribution
system.
1.3 Contributions
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Through smart grid technology, different strategies are
developed to coordinate energy flow for a residential
consumer. The primary objective of these approaches is to
minimise energy consumption and to increase the system
efficiency by taking into consideration the load diversity.
However, there is still a gap in the context of modelling the
residential power flow where the dynamic energy storage is
used to coordinate a cost function based on real-time
electricity pricing scheme, which considers an energy
opportunity cost. The effort and performance of such a system
minimise the overall cost of power consumption while
providing optimal integration of sustainable energy resources.
Thus, the proposed system coordinates the energy from the
DERs, which include DG and distributed energy storage
(DES) to provide a prospect of the total reduction of energy
consumption from the utility grid.
In this paper, the DG includes PV and wind power
generation. Therefore, the contributions of this work are
outlined as follows:
• Through the use of smart metering, develop a robust
optimal control model to coordinate the energy flow
relationship between generation and consumption for a
residential smart home application. The model provides
an opportunity for the end user to sell the energy to the
supplier optimally.
• Design a dynamic algorithm of DES-based on closed-loop
optimal control technique, which implements a real-time
electricity pricing scheme through the hourly energy price
of different energy generation components. This strategy
aims to formulate the system performance index to
penalise the use of energy from the utility grid and to hold
a profit from other energy generations (DERs including
PV, wind turbine and DES as well as opportunity energy).
• Present speculative execution of the proposed model by
varying the initial state of charge (SOC) of battery
systematically within its set minimal and maximal values
to analyse the system improvement. Besides, the DDESS
model proves its effectiveness in the context of energy
saving, where two scenarios of the performance index are
analysed. The saving of the proposed system can vary
between 61 to 157 % of total energy to pay the utility grid.
1.4 Organisation of paper
The remainder of this paper is structured as follows:
Section 2 presents a literature survey of the related research
works. Section 3 explains the system problem by providing a
schematic of the relevant components. Section 4 presents the
design approach and the optimisation technique of the
described problem. In section 5, the results of the system
design are presented. Finally, section 6 provides a conclusion
and gives suggestions for future work.
2. Review of related works
Through smart grid technologies, home energy
coordination is structured into three main components, which
are the energy production system, energy consumption
system and prosumer energy system. The production of
energy can contain residential PV, micro-wind turbine and
utility supplier or main grid [21]. The consumer is mostly
based on residential home appliances with different types of
load demands (flexible or non-flexible loads, thermal or non-
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thermal loads). The prosumer is based on two principal
dynamic characteristics, which consist of being a supplier
and/or a consumer of the energy. Currently, most energy
prosumers on the residential side are battery storage system
and electric vehicles [22]. Several strategies have been used
to manage the energy flows in the residential sector.
In [10], a multi-objective mixed integer nonlinear
programming model is developed to handle demand response
strategy through an energy management system of a smart
home by taking into consideration the energy saving and the
thermal comfort zone for residential users. The system
formulates and evaluates a real-time electricity pricing
scheme through different operating conditions. The model
considers the optimal operation of the management of devices
and units while ensuring the heating system based on the
thermal demand and user’s comfort level. The efficiency and
robustness of the model are tested under different
heating/cooling scenarios. In [11], demand response is
developed as a potential structure to evaluate the system air
conditioning loads for residential application. The system
creates a model based on the aggregated residential air
conditioner in which the total system power is a function of
indoor and outdoor temperatures. Based on this structure, the
system temperatures are taken into account in the evaluation
process at the system level with the demand response strategy
to predict the residential air conditioning loads. It is observed
that the residential air conditioner is one of the essential
factors to ensure demand response strategy and guarantee the
effective regulation of the system. This structure increases the
economy of grid operation and enhances the capability of
resources.
Luo et al. [9] have proposed a new home energy
management system in the framework of real-time electricity
pricing scheme and high residential PV penetration. The
energy management system devises the operations model of
the appliances and an advanced adaptive thermal comfort
model to measure and evaluate the user’s indoor thermal
comfort level. The designed system coordinates the energy
source’s scheduling problem, which is solved by a novel
biological self-aggregation, intelligent, inspired algorithm.
Through the simulation’s analysis, it is observed that the
proposed model improves the automation of the residential
building and can effectively respond to renewable energy
output and real-time pricing. An effective energy
management system for a residential microgrid is presented
in [12]. The model implements a multi-objective optimisation
strategy to cover different aspects of the designed system.
This scheme consists of distributed heat and electricity
generation, heat transfer and thermal dynamics of sustainable
residential buildings and load scheduling potentials based on
household appliances with system constraints. The proposed
model can coordinate all levels of energy management from
the supply to the demand side while taking care of the home
comfort system. Through optimal scheduling and operation
coordination of the energy flow, the proposed model can also
conserve energy to reduce the energy consumption cost and
efficiently provide an acceptable comfort level. In [23], a
residential home energy management system is developed
under a demand response strategy to minimise the total
energy cost. The system coordinates multiple residential
households into a decentralised online control algorithm,
which is implemented by a Lyapunov-based cost
minimisation strategy. The proposed algorithm uses the
2019/06/25 12:14:33 IET Review Copy Only
demand response structure to optimise the energy flows on
the entire electrical system. The designed model has the
possibility of reducing the total power of the system with a
condition of having several elastic and delay tolerability of
several energy loads on the demand side. In [24], households
are categorised into two types of demands, namely essential
and flexible demand. The scheme aims to intelligently
coordinate energy consumption management, complex
demands and operation delay. The delay on the system
operation is mostly caused by the flexible load, which is
characterised by delay-sensitive and delay-tolerant demands.
Through a centralised algorithm, an adaptive dynamic
programming model is designed to formulate an
optimisation-based decision that can minimise the total
energy cost and the operation delay for the flexible demands.
An intelligent residential energy management scheme
under demand response strategy is developed in [25]. The
proposed model aims to meet future demand by introducing
an alternative solution to energy generation from renewable
energy technologies for residential usage. The structure is
built under an optimal approach to minimise the electricity
bills and maintain the energy demand limits subject to
different constraints. This system algorithm implements a
performance index that coordinates different types of loads
which depend on the electricity price horizon. In [26], a
residential energy hub which contains renewable energy,
natural gas generation, electric vehicle, and storage system is
proposed under a probabilistic optimisation scheme. The
proposed model optimally deals with the uncertainty from the
solar panel and the coordination of varying energy generation
to increase system efficiency. In [27], an alternative energy
coordination control framework which takes into account
demand behaviour is developed to improve the system
effectiveness. The model uses the demand response strategy
through hidden Markov modelling techniques to detect
consumer behaviour from real-time aggregate consumption.
Additionally, the system considers the dynamic activity
recognition model to build up an optimisation strategy to
control and schedule user’s appliances.
Barmayoon et al. [28] have proposed an economic
dispatch approach to assess the impact of energy tariff and
storage size optimally. As the battery storage is the leading
solution for renewable energy application in the residential
sector, it can effectively minimise the overall operation cost
by ensuring total supply to the demand side. A stochastic
multi-stage decision process that coordinates the relationship
of energy from the utility grid, electric vehicle and renewable
energy for household electricity demand is proposed in [29].
The model uses a stochastic dynamic programming scheme
to manage the strength of a smart home optimally. The model
creates an opportunity strategy from the storage system
(electric vehicles and battery) to ensure an optimal cost-
saving behaviour of the system. However, a gap was
observed in the context of opportunity energy that impacts the
overall energy saving based dynamic of DES to compute the
performance index into all this related works as described
section 2.
Therefore, this work is an advanced model of creating
a flexible communication strategy developed in [30]. This
paper develops an optimal control strategy of the energy flow
based on the feedback of the dynamic distributed storage
using real-time electricity pricing scheme combined with the
prepaid tariff scheme. The model incorporates a demand-side
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management strategy through the consideration of dynamic
electrical pricing scheme under real-time electricity pricing
model. Though this scheme, a smart coordination approach,
based on data from the system energy flow, is implemented
by the dynamic model of the ESS. Besides, the proposed
model considers the variation of battery depth of discharge as
a function of the state of charge to create an optimal dynamic
control that can handle the overall system behaviour.
3. Problem description
Figure 1 presents the system layout of the proposed
model. This system aims to manage the energy generations as
a function of energy demand for residential usage. A DER
that enables the system to operate as a microgrid connected
to the utility grid is coordinated by DDESS to improve energy
flexibility on the consumer side. Through the proposed
structure of the energy coordination, the model has the
opportunity to inject into the main grid a surplus of energy
that comes from the DER. It is important to note that the
opportunity energy derives from DER and is considered at the
time where the energy demand is less than the energy from
the DER.
Based on Fig. 1, if the opportunity energy is equal to
zero, the energy flowing on the system can be described by
(1). When the opportunity energy is greater than zero, the
energy flow of the system is expressed by (2). In this case, it
is assumed that the energy from DER is superior to the energy
demand at a specific given time t of DDESS.
Ed (t ) = Ewt (t ) + E pv (t ) + Egr (t ) + Edc (t ) (1)
Ed (t ) = Ewt (t ) + E pv (t ) + Edc (t ) (2)
where Ed (t ) is the energy flow on the demand side, Ewt (t )
is the energy generated by the wind turbine, E pv (t ) is the
storage system which is equivalent to Edc (t ) = Eb (t ) when
Eb (t )  0 .
As described in (2), when the energy from DER is of
the vital value to cover the total energy demand at a given
time, the surplus energy from DER is considered as
opportunity energy, and it can be described as follows:
Eop (t ) = Ewt (t ) + E pv (t ) + Edc (t ) − Ed (t ) (3)
where Eop represents the opportunity energy. It is important to
note that during the charging state of the battery, the
opportunity energy is negligible.
3.1 Utility grid system
The energy throughout the main grid is a function of
its energy generation that is supplied by the distribution
system operator (DSO) to the consumer and the opportunity
energy form DER, as shown in Fig. 1. These relations are
summarised by:
Eug (t ) = Egr (t ) if Eop (t ) = 0 (4)
Eug (t ) = − Eop (t ) if Egr (t ) = 0 (5)
where Eug is the energy flow on the utility grid. For the
proposed model, the electricity price is considered to be a
prepaid tariff, which is combined with a real-time electricity
pricing scheme as developed in [30].
3.2 Energy storage system
On power system applications, the battery energy
storage system (BESS) is considered as one of the best
strategies to enhance system operation efficiency in terms of
voltage and frequency control, coordinate the power flow and
improve short term capacity of the electrical system [31].
Thus, several relations can define the dynamic model of the
battery based on the improvement applications. By

Eb Ewt E pv

Eop

DDSOC

E gr Ed

Smart
Metering
System

Figure 1. Smart energy coordination based on dynamic distributed energy storage optimal control.

energy generated by the PV, Egr (t ) is the energy supplied by considering the battery state of charge, a function to establish
the utility grid, and Edc (t ) is the discharge energy from the a dynamic model of the energy storage, this relation is
expressed as follows [32]:

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SOC (t ) = SOC (0) + nc .Ech (t ) − nd .Edisc (t )
where SOC (t ) is the state of charge at a time t , SOC (0) is
the initial state of charge, Ech (t ) and Edisc (t ) are respectively
energy flows on the battery during charging and discharging
period, and it is assumed that nc and nd are charging and
discharging parameters, which will be detailed in this
subsection.
Through the dynamic strategy, the initial SOC can be
incremented as each sample of time to the next value of the
SOC. In [33], an analytical model of battery energy storage is
presented for an optimal cost based model of sizing a hybrid
system with energy storage. This model describes the
structure of the battery SOC and different parameters that are
related to this equation as defined in Eq. (6). During charging
states of battery, by considering Fig.1, Eq. (6) can be
rewritten as follows:
SOC (t + 1) = SOC (t ) +
(E pv )
(t ) + Ewt (t ) − Ed (t ) .ch
inv .CB
where ch is the charging coefficient of the battery, inv is the
inverter coefficient, and CB is the capacity of the battery.
While on discharge case, Eq. (3) can be taken into
consideration to describe the energy on the battery storage.
Equation (6) can be rewritten as:
(E
op (t ) + Ed (t ) − E pv (t ) − Ewt (t )
SOC (t + 1) = SOC (t ) −
disc .inv .CB
where disc is the discharging coefficient of the battery.
In this case, the capacity of the battery is determined
by Eq. (9) below as;
Ha.Ed .avg
CB =
inv .ndisc .DOD
where Ha is the hours of autonomy of the battery, Ed .avg is the
average of hourly demand, and DOD is the depth of discharge
of the battery. The DOD is varying disproportionally to the
SOC. When it is assumed that the operating efficiency and
the battery ageing are negligible, the depth of state of the
battery can affect expression as a function of the state of
charge in the relation below [34]:
DOD(t ) = 100 − SOC (t ) (10)
By updating Eq. (10) to Eq. (9), it can be seen that the
capacity of the battery is also a variable which varies as a
function of time. This variation can then be taken into
consideration by the state of charge during charging Eq. (7)
and discharging Eq. (8). Therefore, the state of charge of
battery defined in Eq. (6) can be rewritten as:
SOC (t + 1) = SOC (t ) + nc (t ).Ech (t ) − ndc (t ).Edisc (t ) (11)
where:
Ech (t ) = E pv (t ) + Ewt (t ) − Ed (t ) (12)
Edisc (t ) = Eop (t ) + Ed (t ) − E pv (t ) − Ewt (t )
ch
nc (t ) =
inv .CB(t )
1 design based on DDSOC. The optimal control system aims
ndc (t ) = (15)
disc .inv .CB(t )
It is important to note that the charging and discharging
parameters, as described in Eqs. (14) and (15), are a function
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(6) of time due to the depth of discharge described in Eq. (10),
which makes the battery capacity a function of time.
3.3 Wind turbine system
The energy generated by the wind turbine depends on
the electrical power production. This expression is
formulated as follows [30]:
6
Pwt = . wt . air .C p . AV
. (16)

where Pwt is the average power demand at the given time,  wt
is wind turbine efficiency,  air is the air density, C P is the
coefficient of wind turbine performance, A is the wind
turbine swept area, and V is the average wind velocity of
given time. Suppose the system is implemented at a given
time horizon N , the energy generated by the wind turbine
can be determined as:
(7)
6 N
Ewt (t ) = .wt .air .C p . A.t.V (t ) (17)
 t =1
where t is the sample time, and t is the time variation of
the selected time horizon N .
3.4 PV system
For the PV system, the power that can be generated is
)
expressed by Eq. (18). This relation expresses that the power
produced by a PV panel varies proportionally as a function of
(8)
the surface of the panel and the level of solar radiation which
that surface can receive [30].
Ppv =  pv . Ap .I (18)
where Ppv is the power is generated by the PV for a given time,
 pv is the PV efficiency, Apv is the active surface of the PV,
(9)
and I is the solar irradiance measured on the PV for a given
time. For a specified time horizon N , it can be calculated as
for wind turbine the energy generated by the PV as follows:
N
E pv (t ) =  pv . Apv .t  I (t ) (19)
t =1
Assuming the system horizon is about a day, namely
N = 24 hours, the energy consumption or daily load demand
from the residential home as presented in Fig. 1, and the
average wind velocity described in Eq. (17) as well as the
solar irradiation on the PV can be given in Table 1 [30].
4. System design and optimisation technique
The designed DDESS principally aims to optimise the
system energy flow by providing a significant reduction of
the energy cost from the utility grid. The model also
maximises the energy flow on the DER side and creates an
opportunity to supply the utility grid when there is surplus
energy. The design of the system consists of implementing a
(13) performance index of each component, as presented in Fig. 1.
Additionally, this structure is based on real-time electricity
(14) pricing scheme combined with the prepaid electricity tariffs.
Figure 2 presents the schematic overview of the system
to coordinate different switching systems represented by S1,
S2, S3, S4, S5, and S6.
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Table 1 Energy demand, average of wind speed velocity and solar irradiance

Daily Energy Wind Solar Daily Energy Wind Solar

Time demand Speed Irradiance Time demand Speed Irradiance
hour kWh m/s W/m2 hour kWh m/s W/m2
00:00 0.6 0.82 0 12:00 0.84 1.766 494.023
01:00 1.72 1.665 0 13:00 0.62 2.576 472.315
02:00 0.46 0.998 0 14:00 0.56 2.017 418.492
03:00 0.9 0.956 0 15:00 4.34 2.282 308.193
04:00 2.18 2.549 0 16:00 7.02 3.116 198.642
05:00 5.72 2.558 0 17:00 2.82 2.626 82.118
06:00 6.98 2.775 15.418 18:00 2.48 3.427 4.934
07:00 4.82 3.754 119.344 19:00 8.48 2.972 0
08:00 1.44 2.948 233.282 20:00 3.66 2.543 0
09:00 4.24 2.828 336.534 21:00 3 2.336 0
10:00 1.16 2.87 438.693 22:00 2.58 1.863 0
11:00 4.6 2.522 482.247 23:00 0.68 1.231 0

Wind
PV S2 Utility Grid
Turbine
E ch (t )

S1 BESS S4 S5
E pv (t ) Ewt (t ) Eop (t ) Egr (t )
S3
S6
Edisc (t )

DERs Smart Metering

DDESS
System

Electric connection Residential Ed (t )

Control connection Home

Figure 2. Schematic of residential home DDESS energy coordination

Suppose a given electrical system which is only N

supplied by the utility grid and if the sample time t is C pv (t ) = prDER  E pv (t ) (22)
t =1
identified in time horizon N , the energy cost of the N

consumption can be determined as follows: Cb (t ) = prDER  Eb (t ) (23)

N t =1

Cgr (t ) = prgr  Egr (t ) (20) N

t =1 Cop (t ) = prDER  Eop (t ) (24)

t =1
where Cgr is the cost of energy consumption from the utility
where Cwt , C pv , Cb , Cop are the energy costs from the wind
grid when the energy opportunity is assumed to be negligible
and pr is the price of energy to pay the utility grid. It is turbine, PV, DES, and the opportunity energy cost.
gr
The performance index of the DDESS system is based
important to note that this price is supposed to be a on Eq. (20) to Eq. (24). The objective function consists of
combination of real-time electricity pricing scheme and the creating an optimal structure within which the closed-loop
prepaid electricity tariffs in terms of design implementation. model will be implemented. This optimal control structure is
For the DER, the energy consumption cost is seen on presented as:
the demand side, and the opportunity cost of the energy can N Nc = k
(25)
min J (k ) =   C (k ) − C (k ) − C (k ) − C (k ) − C (k ) 
be determined using the same structure developed in (20).  k =1 j =1
ug , k j wt , k j pv , k j b,k j op , k j

However, in this case, real-time electricity pricing is where J (k ) represents the system performance index, k is the
combined with renewable energy pricing, which is
sample of time which is assigned at system control horizon
represented by pr . Equations (21)–(24) represent the
DER N c , and j is the level or the time variation of the control
different energy costs from DER as follows: horizon. From the second term of Eq. (25), it indicates that
N
Cwt (t ) = prDER  Ewt (t ) (21) the design model shown in Figs. 1 and 2 minimise the energy
t =1

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cost from the utility grid while maximising the use of energy
from the DER.
The opportunity cost, Eq. (24), can also be set in the
function of the utility grid electricity price. Thus, the
performance index, Eq. (25), can be rewritten as:
N Nc = k
(26)
min J ( k ) =    p ( E (k ) − E ( k )) − p E (k ) 
k =1
j =1
rgr ug , k j op , k j rDER DER , k j
with EDER (k ) = E pv (k ) + Ewt (k ) + Eb (k ) , and Eb (k ) = Ech (k ) or
Eb (k ) = Edisc (k )
4.1 System constraints
Based on the system performance as described in Eq.
(25) and (26), the limitations of DDESS can be defined. The
mutual energy flow relation of the system as illustrated in
Figs.1 and 2 describes the constraints of the structure of the
DDESS.
For energy consumption, the system constraints
depend on all components that supply the load demand. The
energy consumption constraints are a function of Eq. (1). This
relation is assumed to be an equality constraint, and it is
expressed as a function of the sample time k as:
Ed (k ) = E pv (k ) + Ewt ( k ) + Edisc ( k ) + Egr ( k ) (27)
Based on the restriction of Eq. (27), the utility grid
constraints can be determined as:
Egrmax (k )  Edmax (k ) (28)
Egrmin (k )  0
The DG (PV and wind turbine) will be limited as:
E pv (k )  E pvmax (k )
E pvmin (k )  0
Ewt (k )  Ewtmax (k )
Ewtmin (k )  0
The DES, as described in subsection 3.2, assists in
determining the SOC constraints and the energy flow on the
battery constraints. For the energy flow on the battery, these
constraints are the same during the charging and discharging
period. Thus battery constraints are as follows:
Eb (k )  Ebmax (k ) (34)
Ebmin (k )  0
SOCmin (k )  SOC (k )  SOCmax (k ) (36)
It is important to note that the limitations on the energy
flow on the battery can be changed from a negative value to
positive reciprocally. This charging variation depends on the
state in which the energy storage is operating. However, in
this case, it is assumed to be taken positively based on the
formulation of the performance as described in Eqs. (25) and
(26).
Some additional constraints are added to the system
implementation. These are the opportunity constraints which
are based on Eq. (4) and (5), and the system lower and upper
limits which are assigned to the energy flow limits of each
parameter on the system, as shown in Fig. 2. Thus, the
computing of the DDESS is based on the implementation of
Eqs. (25) and (26) subjected to all given constraints in
subsection 4.1.
4.2 System Algorithm
In this paper, the system implementation is a
function of the control horizon and the assigned time horizon
2019/06/25 12:14:33
N that make up the DDESS. By accomplishing a structure
of the designed model optimally, the following steps describe
the system implementation:
Step 1: Determination of the control horizon N c and
simulation time horizon N .
Step 2: System parameters updates at a sample of time,
chosen to be k .
Step 3: Smart meter reading of the energy flows on the
different components of the model as described in Fig. 1.
Step 4: System constraints updates at the chosen sample time,
as described in step 2.
Step 5: Generate the DDESS strategy by using Eq. (25) or Eq.
(26).
Step 6: Find the optimal value of the energy flow.
Step 7: Update the system control horizon, i.e.
kupdated = k + 1.
Step 8: Repeat the system process from step 2 to step 7 until
it reaches the simulation time horizon N .
Step 9: Generate the optimal solution of the system.
5. Simulation results and discussion
Table 2 defines the essential values of the simulation
for the proposed DDESS. The values presented here are
mostly for the DES and the installed capacity for DG (PV and
wind turbine). The amount of Ed .avg (the average hourly
(29) demand) is determined by using the daily average of energy
demand as described in Table 1.
(30)
Table 2 Simulation Parameters
(31)
(32) Parameters Values Parameters Values
(33) SOCmax (%) 95 inv (%) 92
SOCmin (%) 40 Ha (hour) 5
ch (%) 85 Ppv (kW) 5
disc (%) 85 Pwt (kW) 1.5
All minimum values of the system are set to zero
except the minimal value of the SOC of the battery as
(35) described in Table 2. The maximum values of the energy flow
for each component are limited in the function of the maximal
value of the energy demand. This strategy is made by
hypothesising that the given energy generation system can
supply the demand on its own. Except for the DG, based on
their installed capacity, the maximum values of the PV and
wind turbine can be limited to their capacities as described in
Table 2. However, for the optimal solution to satisfy the
system constraints, the hypothesis of assigning all maximal
values to the peak value of the energy demand is accepted.
5.1 Simulation results
The results of simulations for the designed DDESS are
presented in Figs. 3 to 8. Those results are implemented by
considering the different values of the initial SOC of the
battery. Based on the maximal and minimal values of the
SOC of the battery as described in Table 2, eight different
initial values of SOC of the battery are selected to test the
performance of the system vis-à-vis energy saving. The
selected values are 90%, 85%, 80%, 75%, 70%, 65%, 60%
and 55%. It is necessary to note that these values are not
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Figure 3. Optimum energy flow from distributed generation (PV and Wind).

Figure 4. Optimum energy flow from the utility grid (grid supply and opportunity energy) and DES for the first
four set values of SOC.

presented as a percentage as described in Figs. 3 - 8. Thus, all
values are divided by 100 and presented in a unit range to
avoid congestion on the label of figures.
Figure 3 presents the optimum results of DG (PV and
Wind turbine) during the selected values of SOC of the
battery. In Fig. 3.a, the first four setting values, namely 0.95,
0.85, 0.80 and 0.75, represents the optimum energy flows
from PV which can supply the consumer and charge the
battery. These four optimum patterns of PV generation are
compared with the generating energy from the PV where the
optimal energy generations are supplying the prosumer
(Battery) and/or consumer load. The same structure is
developed for the wind turbine in Fig. 3.b. Additionally, Fig.
3.c describes the last four values of the initial SOC of the
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Figure 5. Optimum energy flow from the utility grid (grid supply and opportunity energy) and DES the last four
set values of SOC.

Figure 6 State of charge of battery with the first four initial Figure 7 State of charge of battery with the last four initial
values. values.

battery, namely 0.70, 0.65, 0.60, and 0.55, to present the
optimum patterns of the energy flow on PV. The same
profiles are compared to the generating energy from the PV
when the PV is not supplying any load. In Fig. 3.d, the same
structure for Fig. 3.c is used to show the flow of energy on
the wind turbine. It is observed that the energy flow on the
DG, as described in Fig. 3, has the same pattern for each
setting value of the SOC of the battery. The profile confirms
that the system is robust enough in terms of energy generation
from renewable energy. It can be concluded that there is no
loss of energy from DG because what is produced is also
consumed by either consumer or prosumer (battery storage).
Figures 4 and 5 show the pattern of the energy flow
for the battery, from the utility grid to the consumer, and from
the DER to the utility grid. The profiles are presented for
different set values of the initial SOC of the battery, namely
the first four and last four settings of the initial value of the
SOC. Fig. 4.a and 5.a give the different patterns of the energy
consumption form the utility grid. The first four set initial
values provide the same profile of the energy consumption
from the utility grid, but for the last four values, a change of
each set of values is observed as shown in Fig. 5.a. The same
patterns are also seen in Fig. 4.c and Fig. 5.c for the energy
from DES to the consumer, which is the discharging of the
battery. However, the energy flow during the charging of
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Figure 8. Smart switching system of DDSOC based on residential home energy coordination.
battery has kept the same profile during each change made for
the initial value of the SOC, as shown in Figs. 4.b and 5.b.
Additionally, for the opportunity energy that flows from the
DER to the utility grid, the existence of an opportunity for the
first four initial values of the state of charge is observed (Fig.
4.d). In the last four, Fig. 5.d, there is no opportunity pattern
provided on the system.
5.2 Discussion and analysis of results
Figures 6 and 7 give the profile of the different set
values of the initial SOC inside their limitations, namely
maximal and minimal SOC of the battery. The designed
DDESS is robust enough to ensure optimal energy flows on
the residential sector under the smart grid framework. The
model gives the consumer the possibility to optimise the total
energy consumption by minimising the energy from the
utility grid. Besides, Fig. 8 presents the optimal control
behaviour of the intelligent smart switching system. Different
switching devices, namely S1 to S6, are presented. Figure 8.a
confirms the energy pattern of Figs. 3, Fig. 4.b and Fig. 5.b.
The same observation is also made from Fig. 8.b to 8.d.
Additionally, in Fig. 8.c, it is seen that S5 (energy from the
utility grid switch) is on during all system horizon, but no
opportunity energy flows on the system, Fig. 8.c (S6 is off).
The energy from the utility grid is still minimised, as
described in Fig. 5.a. Thus, the optimal behaviour of S6 for
the last four values of the initial SOC of the battery depends
on the availability of DERs, Fig. 8.b and c (S5).
By considering Figs. 6 and 7, it is also observed that
the optimal solution of the energy storage is a function of the
optimal probability from the performance index. By
observing the availability of the opportunity energy in the
relation of the SOC pattern, it is deduced that even between
75 to 55% of the initial SOC, it is possible to have opportunity
energy. However, the optimal solution does not allow the
performance index to generate any opportunity energy so that
2019/06/25 12:14:33 IET Review Copy Only
the system can conserve its robustness. This mostly depends
on battery parameters, such as capacity and hourly
discharging. Increasing the capacity of the battery can
provide a large energy opportunity in the system but will
require a large scale RERs component. Thus, it is observed
that the system saving of energy and cost, in which the
consumer can use to pay the utility grid, depends on the initial
value of the state of charge of BESS. When this value is close
to the maximal value of SOC of the battery, there is an
essential saving, but when the initial value is closer to the
minimal value of the state of charge battery, the saving
decreases.
Suppose the optimal energy that the consumer is
supplied from the utility grid, as described in Figs. 4.a and 5.a,
represents the optimal energy (O-Energy), and the energy
supply without the implementation of DDESS is called
normal energy (N-Energy), two concepts can, therefore, be
defined. These are consumer energy payback (CEPB) and
consumer excess energy payback (CEEPB). The CEPB is
considered as the opportunity energy which is presented in
Figs. 4.d and 5.d, and the CEEPB is the difference between
the O-Energy and CEPB. The same procedure is also
developed for the cost of energy consumption where O-Cost
presents the optimal cost of energy consumption, and N-Cost
denotes the normal cost of energy consumption. CEPB and
CEEPB conserve the same notation of energy for the cost of
energy.
Tables 3 and 4 represent the analysis of the results
found from the DDESS. In Table 3, the energy consumption
of the end user analysis shows that the consumer has a
significant value of paying back (CEEPB) between the setting
points of 0.9 and 0.85 where the end user can benefit as
described in Table 3. However, for the values between 0.8
and 0.55, the CEEPBs are negative. Compared with N-
Energy, these values are considered as the minimum energy
consumption that the consumer can pay the supplier. Table 4
analyses the cost of energy on the system. It is important to
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note that the CEPB cost is derivate based on the system important energy cost saving of about 61 to 157 % is observed
performance as described in Eq. (25) and the opportunity cost when the DDESS computed Eq. (26) as described in Table 5.
formulated in Eq. (24). The same saving observation for the The saving can reach a peak of about 125 % when the
energy structure as described in Table 3 is observed in Table opportunity is evaluated at DER electricity pricing. It is
4. However, in terms of comparison, a significant increase is necessary to note that the evaluation of the opportunity
observed in the cost analysis, as shown in Table 4 compared energy depends on the set policy of a given utility company
to the energy analysis in Table 3. This increase is due to the and its relationship with different energy stakeholders.
price of renewable energy that was used to compute the CEPB
or the opportunity cost. However, saving is of less value. 6. Conclusion
Therefore, the second scenario of the system performance, as This paper has developed an energy coordination
presented in Eq. (26), can be considered through the structure for an independent residential smart home. An
computation of the DDESS to improve the system regarding optimal control approach is formulated under a closed-loop
the energy cost saving. It is important to note that system algorithm based on the DDESS to compute the performance
behaviour based on the energy flow is not affected by the two index of the system through a real-time electricity pricing
important scenarios as described in Eqs. (25) and (26). scheme. The proposed approach is robust in the context of
optimal energy flows coordination of DER, utility grid and
Table 3 Energy consumption analysis end user with the consideration of opportunity energy. It is
found that the designed algorithm has maximised the use of
SOC N-Energy O-Energy CEPB CEEPB DG to provide opportunity energy, which brings a significant
(%) (kWh) (kWh) (kWh) (kWh) improvement to the reduction of total energy cost to pay the
90 71.9 9.29 50.57 41.28 utility grid. Besides, an intensive energy flowing has been
85 71.9 9.29 22.41 13.11 provided to coordinate the DES optimally. The initial value
80 71.9 9.29 8.32 -0.97 of battery SOC plays an important role in the saving of energy
75 71.9 9.38 0 -9.38 and minimisation of the utility grid’s energy cost. It is
70 71.9 16.21 0 -16.21 observed that the system saving improvement of the energy
65 71.9 21.22 0 -21.22 and cost can vary between 61.18 to 157.48 % of the total
60 71.9 24.98 0 -24.98 energy to pay the utility grid. Through the smart switching
55 71.9 27.91 0 -27.91 system of the designed model, it is found that the DDESS
based on real-time pricing can optimally coordinate the
Table 4 Cost of Energy consumption analysis scenario 1 energy flows of a smart home regardless of load demand
diversity and different energy resources. Therefore, this work
has significant value that can satisfy both the energy supplier
SOC N-Cost O-Cost CEPB CEEPB Saving
(%) and the consumer.
(%) (R) (R) (R) (R)
Future research work will be focused on the
90 87.61 11.32 32.87 21.55 124.60 integration of this approach into a given residential electrical
85 87.61 11.32 14.56 3.24 103.70 network, which contains several autonomous smart homes to
80 87.61 11.32 5.41 -5.92 93.24 coordinate the electrical grid behaviour in the context energy
75 87.61 11.43 0 -11.43 86.95 flowing and voltage regulation at each bus. Additionally,
70 87.61 19.75 0 -19.75 77.45 future work can also look at the optimal approach where the
65 87.61 25.86 0 -25.86 70.48 electricity pricing is variable in function of the energy flow
60 87.61 30.44 0 -30.44 65.25 within a given sampling time expressed in a range of minutes.
55 87.61 34.01 0 -34.01 61.18
Acknowledgement
Table 5 Cost of Energy consumption analysis scenario 2 The first author thanks the Southern African Systems
Analysis Centre (SASAC), South Africa National Research
SOC N-Cost O-Cost CEPB CEEPB Saving Foundation (NRF), and the British Council as well as the
(%) (R) (R) (R) (R) (%) University of Pretoria for their sponsorship.
90 87.61 11.32 61.68 50.36 157.48
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