Energy Management for Grid Connected

Microgrids

Submitted by
WAHEED KHAN (17BNELE0858)
NIHAL AHMAD (17BNELE0832)
SYED AMMAR SHAH (17BNELE0842)

Supervisor
ENGR. MUHAMMAD RIAZ

Thesis submitted for the partial fulfilment of B.Sc Electrical Engineering

degree program at UET Bannu Campus

DEPARTMENT OF ELECTRICAL ENGINEERING

UNIVERSITY OF ENGINEERING AND TECHNOLOGY
PESHAWAR CAMPUS-III PAKISTAN
AUGUST 2021
 Energy Management for Grid Connected
Microgrids

Submitted by
WAHEED KHAN (17BNELE0858)
NIHAL AHMAD (17BNELE0832)
SYED AMMAR SHAH (17BNELE0842)

Supervisor
ENGR. MUHAMMAD RIAZ

Thesis submitted for the partial fulfilment of B.Sc Electrical Engineering degree
program at UET Bannu Campus

DEPARTMENT OF ELECTRICAL ENGINEERING

UNIVERSITY OF ENGINEERING AND TECHNOLOGY
PESHAWAR CAMPUS-III PAKISTAN

AUGUST 2021

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 AUTHOR'S DECLARATION

We hereby declare that we are the sole author of this thesis. This is a true copy of the thesis,
including any required final revisions, as accepted by my examiners. It is further declared,
that we have fulfilled all the requirements in line with the Quality Assurance guidelines of the
Higher Education Commission.

We understand that our thesis may be made electronically available to the public.

1. Waheed Khan:

Signature:____________________________

2. : Nihal Ahmad

Signature:____________________________

3. Syed Ammar Shah:

Signature:____________________________

ii
 FINAL APPROVAL
This is to certify that this project is submitted by Waheed Khan, Nihal Ahamd and Syed
Ammar Shah.

We have read the project report and it is our judgment that this project is sufficient standard
to warrant its acceptance by UET PESHAWAR BANNU CAMPUS III PAKISTAN for the
degree of BSC Electrical Engineering.

INTERNAL EXAMINER:____________________________________________________

DESIGNATION:____________________________________________________________

SIGNATURE:_______________________________

EXTERNAL EXAMINER:___________________________________________________

DESIGNATION:___________________________________________________________

SIGNATURE:________________________________

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 ABSTRACT

A proposed approach to the fulfillment of the energy supply requirement of future power
systems is now the micro-grid system. This thesis deals with the energy management of the
dispersed grid generation. The problem investigated in this work is to thrive the electricity
supply as it is not fulfilling the electricity demand. So we have to increase the generation by
using renewable energy resources or generators. Because the centralized grid system is
unsatisfactory so we will make a distributed generation by installing a microgrid. And if we
are dependent on utility so in case of any issue in transmission lines we will also not be able
to provide electricity because it is a local generation so that’s why we are preferring locally
distributed generation in this project and as a result, the system reliability will increase. We
have made such energy management so it is available at the economic rate for the people. We
also deals with utility and other microgrids by selling additional electricity and purchasing in
case we need. So the proposed idea in this project is primarily based on using renewable
energy resources for a generation which creates economic development and it is also friendly
with the environment by reducing some types of pollution. Using MATLAB energy is
managed by rescheduling and peak clipping.

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 ACKNOWLEDGEMENTS
We are much thankful to our project research supervisor Engr. Muhammad Riaz (Lecturer
EED UET Peshawar Bannu campus III) for giving us his invaluable time throughout our
research work. All this is possible due to his timely suggestions, moral and technical support,
and encouragement throughout this research. We express our deep gratitude to him for
helping in reviewing our dissertation and research papers. We are very impressed by his
outstanding supervision, continuous support and precious advices, which have led to these
research achievements.

Indeed, we can never ever forget the love and support that our family has provided them
throughout the research and write-up of this dissertation. This work was possible due to the
patience, care, and strong support of our parents.

Many thanks and appreciations also to our colleague and teachers who have enthusiastically
helped us with their abilities.

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 DEDICATION

Specially dedicated to our beloved parents who have given us inspiration and have been a
constant source of encouragement. Whose constantly provide their financial, moral and
emotional support for us throughout our life.

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Table of Contents
CHAPTER 1 Introduction.......................................................................................................... 2
1.1 Background and Motivation ............................................................................................... 2
1.2 Microgrid................................................................................................................................. 2
1.2.1 Basic Structure and Elements in Microgrid ..................................................................... 4
1.2.2 Control in Microgrid ............................................................................................................ 5
1.3 Energy Management ............................................................................................................... 7
1.3.1 Energy Management in Microgrid ................................................................................... 7
1.4.1 Environmental Impacts of Distributed Generation .............................................................. 8
1.5 Simulation Tool ....................................................................................................................... 9
1.5.1 MATLAB software .......................................................................................................... 9
1.6 Research Objectives ............................................................................................................ 9
1.6.1 Research Contribution................................................................................................. 9
1.7 Overview of the Thesis Report ..................................................................................... 10
CHAPTER 2 Literature Review ..................................................................................................... 11
CHAPTER 3 System Model and Methodology ............................................................................. 17
3.1 Renewable energy: ................................................................................................................ 18
3.1.1 Renewable energy resources: ......................................................................................... 18
3.2 Mathematical Model ............................................................................................................. 23
3.3 Flow Chart ............................................................................................................................. 27
CHAPTER 4 MATLAB Simulations Results ................................................................................. 27
4.1 Results And Discussion......................................................................................................... 30
CHAPTER 5 Conclusion and Future Work……………………………………………………….
5.1 Conclusion
5.2 Future Recommendation
CHAPTER 6 References………………………………………………………………………….

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CHAPTER 1: Introduction

1.1 Background and Motivation

In the subject of microgrids power rapid improvements have been observed in recent decades.
Microgrids are currently expanding in commercial markets with centers, banks and pilot fairs
driven by mechanical improvements, decreasing costs, proven involvement and recognition of
their benefits. They are used to improve the reliability and strength of frame ways for intensities,
to cope with expanding transported clean life-saving assets, like the wind and sunlight age, in
order to reduce the emanations of petroleum products and to power territories without electricity
[1].
Increasingly, microgrids are being launched from laboratory benches and demonstration sites on
trade markets spurred by technological breakthroughs, reductions in costs, established history and
increased recognition of their advantages. They contribute to the growth in energy network
dependability and resilience, to managing the provision of distributed clean power resources,
including PV power, to minimise fossil fuel emissions and offer electricity to non-centralized
areas. They are the most important sources of energy. [2]

1.2 Microgrid
A microgrid is an autonomous energy system serving a discrete geographical place, such as a
campus, a hospital, a commercial center and a district. In micro grids that produce their electricity,
one or more sources of energy distribution (solar panels, wind turbines, combined energy and heat,
generators).

It has multiple scattered sources and load centers, and a distribution network that contains or
does not have backup storage components. It can be utilized with or without the main grid to feed
local load requirements. Power may flow in two ways when the main grid is connected to it. There
are single or multiple intelligent control devices available for the control and management of all
components and power flows in the microgrid. The aims of the intelligent micro grid controller
also include minimizing emissions of harmful gases resulting from thermal generating and
maximizing profits (including participation in the energy market).

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 A microgrid is a locomotive grouping that generally works with traditional central power
generating, energy storage and loads (macrogrid). This common point can be disconnected from
the macrogrid. Then the microgrid can operate independently. [63] Generation and loads are often
connected at low voltage in a microgrid and can operate in DC, AC or both. From the grid
operator's point of view the connected microgrid can be controlled as if it were only one entity.
Stable batteries, pipelines, solar power, wind and other forms of energy can comprise
microgrid resources. By using a number of dispersed generators, the capable of isolating the
microgrid from a broader grid would supply exceptionally stable energy. Produced heating from
sources, such as microturbines, could be used in local processes for heating or heat space to
compensate varying amounts of heat and electricity.

In the wake of the India blackout in July 2012, micro-grids were suggested:

 Small 30–50 km radius micro grids.

 Little 5-10 MW power plants to power the micro networks
 Locally produce power to lessen reliance on long-term lines and reduce transmission
losses.

GTM Research projects that microgrid capacity will exceed 1.8 gigawatts in the United States
before 2018.

Microgrids have been established in several towns throughout the world. Tesla, for instance, has
built a sun system on Ta'u Island in Samoan, supplying solar power throughout the island. More
than 380 cubic meters of diesel fuel were saved using the localized production techniques
(100,000 US gal). If the sun does not shine during this time, the island can also remain for three
whole days. This illustrates how the usage of renewables and local products may be fostered
through micro grid networks in communities.

For a better plan and implementations of microgrids, the engineering modelling is important.
There are several approaches for simulating and optimizing microgrid economic and electrical
effects. The Lawrence Berkeley National Laboratory's distributed energy resource customer
adoption model is a regularly used tool for financial optimization (DER-CAM). Another
commercial economy modelling application is often utilized by Homer Energy, originally created

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up by the Renewable National Laboratory. There are other power flow and electric design tools
for microgrid developers.

1.2.1 Fundamental Structure and Elements in Microgrid

As already stated, microgrid contains several components depending to the requirements of
the stakeholders (consumer, investor, market). All elements combine the microgrid
structure. From the definition we may conclude that fundamental elements in the microgrid
are:

• Distributed Generating units

• Load Centers

• Distribution network

• Control Unit(s)

• Renewable energy sources

• Battery Energy Storage system ( ESS )

• Battery Energy Storage system ( ESS )

• Photovoltaic ( PV )

• Micro turbine ( MT )

• Diesel Generator ( DG )

• Fuel cell ( FC )

• Water turbine ( WT )
Traditional, non-conventional or combination (renewable or alternative) generations can be
distributed units. The main aim of these generating units is to fulfil the requirement of local
loading centers. Charging centers can also have their own generation, partly dependent upon
supply, or the generators fulfil all demand via the distribution network.

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1.2.1.1 Load Center:

A load center is used in residential and light commercial applications to distribute electricity
supplied by the utility company throughout the home or building to feed all the branch circuits.
Each branch circuit is protected by the circuit breaker housed in the load center.

Types of Load Centers:

The main breakers and main bags are two kinds of loading centers.

Main Breaker: main load breaker centers for service entry applications are suited. Input cables of
a load center type breaker are linked to the main breaker that in turn supplies electricity to the
load center and its branch circuits. The main disconnector disconnects electricity from the center
of charge and provides overcurrent safety.

Figure-1.1. Main Breaker [1]

Main Lug: There is no main circuit breaker in a principal load center. The intake wires are
connected to the main traffic jacks and bus bars directly. The primary load protection is not
supplied as an integrated part of the load center. Main bug units are used mostly as a distribution
panel with an upstream main disconnector. A back-fueled load disconnector and a holding clip
(required by NEC®) are included in certain cases to turn a main loading center into a principal
loading hub.

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 Figure-1.2. Main Lugs [1]

1.2.2 Control in Microgrid

The control device is one of the primary microgrid components. Power flows should be
effectively monitored and controlled from the generation to the charging centers. The generation
of electricity needs a controller to assure quality of energy (voltage, frequency and sin wave
within limit).
The synchronization and control of single types of microgrid production is relatively easy and
less complex. It can be controlled by a single unit. However, multi-type (by nature) creation can
be achieved at one point for feeding into the single loading hub. The control of this many sort of
generating for one central controller is therefore exceedingly complex and tough to handle.

Figure-1.3. Basic Components in Microgrid [2]

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1.3 Energy Management
Energy management is the method by which energy consumption can be tracked and optimized
for building utilization conservation. There are several steps to the energy management process
in which continuous data are collected and analyzed.

 Identify equipment planning optimizations.

 Set out energy efficiency points and flow rates

1.3.1 Energy Management in Microgrid

For the optimal use of these distributed energy resources in intelligent, safe, reliable and
coordinated ways, an energy management system is crucial for microgrids. Various techniques of
quantifying uncertainties are summed up in order to manage the volatility and intermittence of
renewable energy sources and demand. The development of a two-way communication system
with algorithms is another important problem in microgrid power management. A range of
heterogeneous devices must be managed by such a system, using algorithms for energy
management. Sadly, most of these gadgets still employ and cannot interoperate with proprietary
Protocols.

1.4 Distributed Generation

Distributed generation refers to a multitude of electrical generation methods in or around the area
in which solar panels are employed, as well as combined heat and power. The distributed
generation of such a major industrial plant, a military base and a large educational campus can be
one structure or component (a smaller grid that is also connected to the large supply system).. This
can be in an individual grid, such as a home or business. Connected to the power system's lower
voltage distribution routes, distributed generation can help to clean and secure new consumers'
power supply and reduce power losses through transmission and distribution routes.

Typical distributed systems comprise in the residential sector:

 Solar PV Panels Solar

 Small turbines for wind
 Cells burned using natural gas natural gas
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Distributed generation may comprise such resources in the commercial and industrial sectors as:

 Heat and power systems Combined

 Solar PV Panels Solar

 Wind

 Hydropower

 Combustion or co-feeding of biomass

 Incineration of municipal solid waste

 Natural gas or biomass fired fuel cells

 Combustion engines reciprocating with backup generators that can be powered by oil.

1.4.1 Environmental Impacts of Distributed Generation

 Distributed generation can improve the environment by reducing the amount of electricity
generated in centralized power plants, and in turn can minimize the impact of centralized
generating on the environment. Specifically:
 Electricity in homes and businesses can be generated utilizing renewable energy resources
such as solar and wind, with existing cost-efficient distributed generation systems.
 Distributed generation can harness otherwise wasted energy, for example via a combined
heat and electricity system.

 The use of local energy resources decreases or eliminates the 'line loss' that arises while
the power supply is transmitted and distributed.

Distributed generating can however, potentially have negative environmental

consequences:

 Distributed systems require a footprint, and because they are closer to the end user certain
distributed generating systems may be unpleasant for the eyes or pose problems with land
use.
 Distributed generating systems involving combustion—especially fossil fuels—can have
many of the same types of effects as bigger energy plants with fossil fuels, for example air

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 pollution. These affects can be smaller, but also closer to populated regions, than the
impacts of a major power plant.

 Some technologies of dispersed production such as waste incineration, biomass

combustion and combined heat and power may require water to generate steam or cool.
 Distributed generation systems using combustion can, due to scale efficiencies, be less
efficient than centralized power plants.

When they are replaced or removed, distributed energy technologies can generate certain
negative environmental problems towards the end of their useful life.

1.5 Simulation Tool

1.5.1 MATLAB Software

MATLAB is a programming and digital computer platform utilized in the analysis of data,
algorithm development, and model design by millions of engineers and scientists.
It is standard software provide more accurate solutions for all type of energy managements
1.6 Research Objectives
• To minimize overall system cost
• To improve user comfort
• To lessen highest to average power ratio
• To mitigate the demand-supply gap
• To improve the reliability of the system
1.6.1 Research Contribution

The major thing of this research work is that to perform energy management in microgrid using
our own technique of energy management.

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1.7 Overview of the Thesis Report
The research work presented in this paper is done in such a manner that each and every graduate
or post graduate students can understand easily and can take benefit from the work. The
association arrangement of this thesis is as following.

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CHAPTER 2: Literature Review

The author has described two forms of micro-grid, centralized and decentralized energy
management, which are largely centrally managed according to heuristic approaches and
employed in autonomous system based methods. More is offered for centralized management,
however the invasion or attack on distributed energy resources (DERs) might lead to problems
with this type of management when implemented in a centralized information system, because
the enormous amounts of information may need high computer expenses. The Author has,
however, stated that distributed energy management can be an alternative way to solve this
problem by using remote controllers to analyze the data in real time and to require
communications equipment, reducing the data process. He added that Li-ion batteries can in
future have advantages compared with lead acid batteries throughout their extended life cycle,
rapid charge, a high energy density and low maintenance in the form of lithium-acid batteries.
The costs of acquiring lithium batteries are currently greater than those for the Li-ion battery in
the next few years, while it is anticipated to decrease the cost to acquire the lead acid battery [1].

In order to optimize the energy supply of the Grid and Stand-alone Photovoltaic (PV), Easy Type
(WT), Fuel Cell (FC) Micro Turbine (MT), Diesel (DG) and Battery Microspace (MP) are
suggested the authors have adopted a mixed integration (MGEM) programming method and a
new MGEM multi-target solution, as well as a demand response program (ESS). The document
also describes capital cost, operating costs, fuel prices, energy charges and overall costs for the
test system, including power for independent micro- and grid-connected micro grids, hybrid
energy sources or storage equipment. It also describes the cost of equipment. Based on the
simulation data, he underlined the major energy expenses of diesel and micro turbines. In order
to evaluate how much MGEM problem storage charges and discharges resolve, the author has
used a fluid deductor system. The author employed the fuzzy inference method to decide if the
storage system's charge and discharge power was to be resolved by MGEM. The results
demonstrate the efficiency of MGEM optimization utilizing such a system. In order to test their
efficiency, he compares the simulation results to the approach proposed using other evolutionary
algorithms [2].

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 The author employed the strategy for building efficient grid energy management, consisting of
the photovoltaic and battery energy storage systems (BESS). The aim is to minimize the system's
cash flow and increase net energy import from the main grid. In order to optimize the schedule of
sources as well as the minimum value of the maximum energy obtained by the main grid, the
author employed the dynamic programming process and obtained two positive results [2].

In order to provide a seamless transition from microgrids (MG) electricity into sensitive loads
and the main grid, the author suggested an adequate control technique [3]. He concentrates his
work on traditional and sophisticated control systems utilized for sustainable energy consumption
in MG applications. And the algorithmic advantage, disadvantages and probable upgrades or
hybridizations of conventional and innovative control systems for future grids are also explained.
In order to increase the electricity production for renewable sources within the MG system,
maximum power tracking techniques are also highlighted [3].

In order to ensure that the loads in this system are supplied with dc power, the author proposed
to use dc microgrids and researchers to establish the right connection with DC-type sources like
photovoltaic systems, petrol cells and secondary batteries to reduce the losses in transmission from
source to load in comparison with ac microgrids [5]. The Author proposed a "low voltage bipolar
dc microgrid" to deliver high grade power using the three-wired dc distribution line. For this
purpose. A dc microgrid instance is shown as a system for a residential complex. Each house has a
gas engine and fuel cell cogeneration system in this system. The electrical output of the units is
shared and total power can be regulated by changing the number of cogeneration systems in
operation. He selected super condensers for the major storage of energy. The author has
experimented with a system of laboratory scales to confirm the basic characteristics and system
operations. His studies revealed that under certain scenarios the proposed system may deliver
high-quality power [4].

The author has developed a solar and battery energy storage systems based on microgrid
energy management systems to manage load demand and power flows in the microgrid. The
project consists of a microgrid power management system. The author has suggested two
modules: prediction and optimization [5]. The module foresees the prediction of solar irradiance,
temperature and demand for load, whilst the optimization module provides an optimum daily

12
schedule for the generation of electricity and demand in an economically cost-effective grid. The
author has applied MATLAB, and the simulated results of back propagation algorithms show the
feasibility and efficacy of the proposed study case method [5].

The author describes the different operating modes of the microgrid, which are the insulated and
the grid connected operating mode. Islanding mode is responsible for the energy balance and the
aim of the network linked mode is to prevent interference and load variations in the grid from
spreading renewable resources. The challenge is that one-type energy storage cannot efficiently
carry out all such tasks in a renewable microgrid [6]. In order to achieve the above objectives,
the author has proposed a composite energy storage system containing both high energy density
storage battery and high power storage ultra-sensor. The proposed architecture of the power
converter and the energy management system can actively share the demand for power between
multiple energy storages. The author employed the dc–dc converter construction through DAB
modules which, according to modular feasibility, are coupled in series or parallel. The author has
found that the topology of DC–DC converters combined with its energy management system
may flexibly share the power from one battery to the other [6].

To implement the algorithms, a researcher designs a two way communication system. A range of
heterogeneous devices are handled using energy management techniques in a microgrid. Sadly,
most gadgets continue to employ proprietary protocols and cannot interoperate. Many of the
system's gadgets also lie on the customer's side, which require autonomy and local intelligence.
Therefore, in the second half of his thesis he concentrates on designing and implementing a
system architecture that makes microgrid energy management interoperable and autonomous. He
presents the design of a unified communication interface that is protocol and technology agnostic
for interoperability and a decentralized system architecture for autonomy on the customer side
[7].

A paradigm for microgrid energy administration is provided in order to optimize specific

microgrid stakeholder objectives. This frame is demonstrated by a micro grid, which is
connected via a transformer to an external grid and consists of a medium-sized train station with
integrated photovoltaic power generating systems, a small power generating plant comprising
urban wind turbines and a district that covers residences and small companies. The system is

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described by agent-based modelling in which each player is modelled as a single player with a
particular goal: (i) reducing energy consumption or (ii) increasing power sales revenue. The
result of the reliability analysis performed for energy programming under different wind energy
output levels shows that there is a significant improvement in reliability. The overall
consequence of greater reliability nevertheless is a decrease in the energy producer's location by
reducing the volume of energy committed. In this regard, optimized wind energy production
based on the projected wind output value results in a higher performance ratio. Lastly, the
findings achieved by RO based on PIs are similar to those from other approaches for prediction
and optimization [8].

An author studies the economic optimum management and their interplay with incentivized
demand response programmers of a network connected microgrid with distributing energy
sources.

In his work, the cost function of consumers in the incentive-based response program is built in
order to receive a more realistic stimulus and is then combined with energy management.
Consumers so give hourly power reduction offers on the basis of the sorting and the
implementation of a payment model based on incentive. At times, the supply-demand balance
cannot be maintained by complying with customer offers due to the full use of grid and
microgrid resources. For mandated power restrictions in exchange for increased incentives paid
by microgrid operators, specific energy rules and contracts are required in this instance. The aim
of the function aims to minimize operating expenses for the microgrid units such as fuel cost for
Diesel generators, power exchange charges for the main grid, battery storage power storage
energy battery storage prices and in the meantime optimize the demand benefit for micrgrid
operators. Simultaneous energy management and demand answer management leads on the other
hand to a complex non-linear problem that can be handled by employing the MATLAB software
whale optimization technique [9].

He concludes that a grid-related microgrid with distributing energy resources and reducing
consumer power will be investigated within a 24-hour cycle to evaluate the performance of the
suggested novel strategy. In addition, the scalability of the system and the microgrid is
considered using aggregates and a big battery. The findings of the simulation reveal that the
integration of an evolved demand response inside the energy management system is an efficient
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technique to optimize demand and supply performance in line with the economic operating
objectives of microgrids [10].

A researcher is studying the management of micro grids with dispersed generation. Its objective
function covers both economic goals and environmental goals. The energy management model is
seen as a multi-target and multi-parametric optimization issue. Dynamic multi-parameter
programming was applied to optimize the microgrid energy management. Finally, simulation
studies analyze the efficiency of the proposed strategy.

The aim of its essay is to examine the optimum energy management of the microgrid to obtain
every hour of the next day the electricity generation plan for each unit. In his paper, battery
performance and coordination with other distributed energy resources are taken into account in
the various operating modes of the microgrid. The suggested dynamic programming multi-
parameter approach thereby considers the distributed power and charging fluctuations of the
microgrid. The results of the simulation show that the method can ensure that the optimization
challenge is solved. The fuel costs are decreased and emissions of gas are reduced with high
energy efficiency, as per the Energy Management Strategy. The projected technique converges
rapidly and achieves the optimal global solution [13].

Electrical network energy management is an essential topic which many of the latest studies have
explored. The prevalence and growth of renewable generators and their uncertain behavior is
making this challenge increasingly relevant. The major reasons for using renewable resources in
electricity networks are global warming, environmental and economic challenges. In addition,
the problems of generating surplus electricity appear in the electrical networks by expanding the
penetration of renewable resources. His paper examined the effects of the penetration of
renewable resources and problems with surplus electricity production. Therefore the purpose in
this study was to achieve efficient energy management with a microgrid with high penetration of
renewable resources. The paper explores the benefits and deficiencies of three primary solutions,
namely the storage of excess electricity by electric storage, convert additional power into
hydrogen as an energy carrier and transmit the surplus power to the main power grid, in order to
address the above concerns. Then, the renewable resources penetration and faults of the solutions
indicated were comprehensive solved. It is worth highlighting that for the future 24-hours energy
management is offered, which concurrently reduces cost and pollution target functions. The
15
planning presented also investigates the impact of load, wind speed and solar radiation
uncertainty. Finally, the effect of parameter modifications on the target function is demonstrated
through a sensitivity analysis. With optimization of power storage, the final results reveal that
costs are lowered from $3,842,981 to $2,888.33 and zero kilograms by optimization of energy
storage. Also, a total of approximately $1720 and $210,735 will be generated by increasing the
tensile capacity and utilizing the power to gas system. However, the problem of pollution
remains. In return, in the last way described, there are around $472.46 and zero kg of revenue
and pollution, and the surplus problem is resolved. The author concluded that microgrid systems
can provide an electrical production profile that matches the household or regional buildings'
load profile through an electronic management system. Two micro grid systems at various
locales are compared with the performance of their PV generation under local weather
circumstances in this article. Ningbo's PV system delivers a higher power output than the
Sichuan system. In the evening, the low energy price is stored in the battery. The monthly flow
balance of electricity is researched further and with time the same trends have been identified
[15].

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 CHAPTER 3: System Model and Methodology
Our System model is composed of

 Renewable energy resources

i Wind generation
ii Photovoltaic generation
 Battery energy storage system
 Control room
 Link weather station
 Link with utility
 Link with other microgrids

Figure-3.1. Microgrid and its Links with Utility and Other Microgrids

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 3.1 Renewable energy:
Renewable energies are useful energy that is gathered from natural human time-scales
renewable resources include carbon neutron sources such as sunshine, wind,
precipitation, tides, waves and geothermal hot air. This form of energy supply contrasts
with fossil fuels, which are utilized far faster than regenerated. While renewable energy is
mainly sustainable, there are those that are unsustainable, e.g. some biomass.

3.1.1 Renewable Energy Resources:

 Wind power
 Hydropower
 Solar energy
 Geothermal energy
 Bioenergy

The energy resources we will be using in future for our microgrid are:

3.1.1.1 Solar Energy:

Solar energy, radiant light and sunlight heat are utilized in a wide array of continually growing
technologies, such as solar, photovoltaic, concentrated solar (CSP) and photovoltaic concentrated
energy (CPV). Solar technologies have a broad characterization, depending on their way of
capture, transformation and distribution of solar power, as either passive solar or active solar.
Passive solar strategies include a structural orientation to the sun, the choice of good thermal
weight materials or light dispersion properties, and the design of air circulation zones. Sunlight
transfers the sun's thermal energy into electricity via photo voltage or directly or indirectly
through solar power via solar collectors for warming and photovoltaic (CSP).

A photovoltaic system transforms light into direct power by employing the photoelectric effect
(DC). Solar PV has evolved into a rapidly growing multi-million market which continues to boost
its economic efficiency and has the highest potential from all renewables. CSP Lenses or mirrors

18
and tracking mechanisms are used by the CSP systems to focus a broad region of sunlight on a
small beam. The 1980s saw the start construction of commercially focused solar plants. CSP-
Sterling is far from the maximum efficiency among all solar energy systems.

In 2011, the International Energy Agency said that "the development of affordable, inexhaustible
and clean solar energy technologies will have huge longer-term benefits. It will increase countries'
energy security through reliance on an indigenous, inexhaustible and mostly import-independent
resource, enhance sustainability, reduce pollution, lower the costs of mitigating climate change,
and keep fossil fuel prices lower than otherwise. These advantages are global. Hence the
additional costs of the incentives for early deployment should be considered learning investments;
they must be wisely spent and need to be widely shared". Australia has the world's greatest share
of solar power; solar supplies met 9.9% of the demand for electricity in 2020.

Figure-3.2. Data for a 3kW Solar Energy Installation [7]

The growing concern about climate change is attributable to the growing attention of solar
energy, especially solar protocols (PV). Incentives, such feed-in and net metering, foster the fast-
growth of the PV sector. At the end of 2014, the installed PV voltage was 177 GW. The PV
capabilities in the grid however provide frequency stability and reliability because of the
intermittent nature of solar energy. To overcome these problems, grid-connected and battery
19
storage micro-grid systems have become one of the key tools for expanding the proportion of
minipolar PV systems disseminated. The micro-grid generally comprises of the energy-
conditioning, energy storage, loads as well as energy and control. These intelligent power
systems have been created to deliver better and stable energy supply to a small number of
consumers such as homes and islands. The amount of PV power nevertheless varies throughout
time and frequently does not match consumer profiles. Demand response is frequently utilized in
grid systems to decrease operational costs. The response to demand entails a change in
consumption pattern as a result of a change in the price of energy over time or costs incentives
designed to reduce consumption or modify it over hours where the electricity price is high on the
market or system reliability is under threat. Based on this analysis of reliability and operational
strategies, two micro grid systems with PV panels at different sites were developed. The aim of
these micro-grid systems is to enhance renewables and lower running costs based on demand and
power market prices. In this work, the design, parts and structures of the micro-grid systems
were introduced first. To handle their performance, a detailed comparison of PV systems and
simplified operational strategies we carried out.

Figure-3.3. Solar Radiation from 6-18 hours [8]

20
The main component affecting solar radiation in the micro grids system is PV panels. In Ningbo
and Sichuan, China, the two micro grid systems have been installed. The accompanying figure
describes the geographic locations and dispersion of solar radiation. The sun radiation resources
in these double locations are below the rich level, as can be noted. The density of solar radiation
is a bit higher in Ningbo than in Sichuan.
We chose one day the same climatic circumstances to test the performance of PV panels in
Ningbo and Sichuan. The following figure displays changes in solar radiation and PV electricity
generation. As can be observed, for the entire lightning period, the PV-specific power provided
by the PV panels has a very clear characteristic of the day and night. At midday, the time of
maximal solar radiation occurs, and the power of PV corresponds practically the highest to
sunlight. In the meanwhile, the PV production is shown to be sensitive to solar radiation. In the
Sichuan environment, the power production is highly volatile thanks to solar radiation, and the
variation of solar radiation increases management complexity so that PV panels function on a
maximum power point (MPPT) basis. The figure below shows how efficient PV panels are. The
trends in PV efficiency do not match the PV output. As the peak solar radiation value is at
approximately midday, the peak photovoltaic efficiency is close to 8:00 in Ningbo. Due to the
disparity in temperatures between the panel and the environment, the efficiency is therefore quite
minimal. The figure below shows the temperature differential in rear side and in actual
operational settings between the ambient and PV panels. The ambient temperature in Sichuan is
fascinating, but lower than in Ningbo, whereas PV panel temperature is significantly greater than
in Ningbo. The main reason for this is that Ningbo's wind speed is higher than Sichuan [13].

21
 Figure-3.4. PV Power Output from 6-18 hours [8]

3.1.1.2 Wind Power:

The wind turbine deployed globally was 733 GW in the end of 2020. For running wind turbines,
air flow may be utilized. Wind turbines of modern utility scale range from approximately 600 kW
to 9 MW. The wind power provided is dependent on the wind cube, so that the power generated
by the wind climbs to the maximum power supply for the given turbine. The preferred locations
for wind farms are areas where winds are stronger and more constant, like offshore and high
altitude sites. Typically, wind turbines with full load times vary from 16-57 percent every year,
although in really good offshore sites may increase.

In 2015, wind power met almost 4% of worldwide electricity consumption, with an installed
capacity of almost 63 GW. Wind energy has been Europe, USA, Canada's main new capacity

22
source, and China's second largest. More than 40% of wind energy demand was met in Denmark
and about 20% was met by Ireland, Portugal and Spain.

Globally, the long-term technical potential of wind energy is estimated to be five times overall, or
40 times the current demand for electricity over all the practical hurdles that are needed. Wind
turbines, especially in places with stronger wind power sources, such as offshore would be built in
broad areas. With offshore wind speeds that are around 90% higher than land, offshore resources
are much more powerful than land turbines.

Figure-3.5. Power Curve for Vestas V82 [9]

Atmospheric movement of air mass is seen as a wind and has several origins. The heating of the

Earth by the sun is the most important of them. Therefore, wind energy use is an indirect way to

use solar energy. The sun radiation is absorbed by the surface of the planet and then returned to

the top atmosphere to influence the wind velocity. This allows the weilbull distribution to model

the best wind velocity description. The weibull distribution is a statistic model, which may be

23
updated to modify the size and shape of the curve by defining two parameters. It describes the

likelihood that wind speeds may occur. The statistics will indicate how often winds of different

wind speeds are seen in a specific wind speed location. The following illustration shows how the

distribution of weilbull varies with k.

Figure-3.6. Weibell distribution [9]

Larger 'k' values provide a ball-shaped curve that is more regular and result in a higher mode,
with unchanged mean wind speed.

According to the Malaysian Weather Department, the wind in Malaysia is mostly mild, although
there are some homogeneous periodic fluctuations, four seasons in Malaysia, including the

24
monsoon in the south-west, the north-east monsoon, and two shorter antimonsoon periods [9].
But the whole monsoon in Perlis tends more to be because it's near Thailand. For this
investigation, the average daily wind speed was chosen, as indicated in figure. For month wind
speeds are maximum, minimum, and medium: 3.2274 m/s, 0.1992 m/s and 1.7133 m/s.

Figure-3.7. Average Output Wind Power of [9]

The assessment of wind power and energy per unit area are important information for the
appraisal of the wind energy project. The mean output density in Figure 5 is 21.7 m above
ground level during 2009. The maximum monthly mean power density at January is 4,
9237 W/m2 and the lowest month is 0,1159W/m2 at July. The wind density is 1.1549
W/m2 annually.

3.2 Mathematical Model

25
3.2.1 Constraints:

Our mathematical model have the following constraints.

3.2.1.1 Energy Balance

𝑡,𝑔 𝑀 𝑡,𝑘 𝑡,𝑘
𝑡
C1: 𝐸𝑚 + 𝐸𝑚,𝑢 + ∑𝑀 𝑡 𝑀 𝑡 𝑡
𝑛=1  𝐸𝑚,𝑛 = ∑𝑛=1  𝐸𝑛,𝑚 + 𝐸𝑢,𝑚 + ∑𝑎∈𝐴𝑘 𝑋𝑚,𝑎 𝐿𝑚,𝑎

In energy balance constraint of our mathematical model. ‘t’ indicate the time slot, ‘g’ is the self-
generation, ‘m’ is our own microgrid, ‘u’ is the utility, ‘n’ is for other microgrids, ‘a’ is for
𝑡,𝑘 𝑡,𝑘
appliance, ‘𝐴𝑘 ’ is the set of appliances, 𝑋𝑚,𝑎 is the shiftable and load 𝐿𝑚,𝑎 is the base.

3.2.1.2 Self Sufficient

𝑡
C2: E𝑚,𝑚 =0
Self-sufficient means that our system cannot sell or purchase energy to our own microgrid
3.2.1.3 Utility Tariff
𝑡,𝑢 𝑡,𝑢,max
C3: 0 ≤ 𝐸𝑚 ≤ 𝐸𝑚
In case of purchasing energy from the utility there will be a maximum limit for purchasing
amount of energy.
3.2.1.4 Microgrid Tariff
𝑡 𝑡,max
C4: 0 ≤ 𝐸𝑚,𝑛 ≤ 𝐸𝑚,𝑛
In case of purchasing energy from the utility there will be a maximum limit for purchasing amount
of energy.
3.2.1.5 Generation Constraint
𝑡,𝑔 𝑡,𝑔,max
C5: 0 ≤ 𝐸𝑚 ≤ 𝐸𝑚 ∀ 𝑚, 𝑡
It’s a constraint for self-generation, we will generate energy from the renewable energy resources
which is enough to fulfill the demand.
3.2.1.6 Peak Clipping Constraint
𝑡,𝑘
C6: 𝐿𝑡𝑚 + ∑𝑀 𝑋 𝑡,𝑘 𝐿
𝑎∈𝐴𝑘 𝑚,𝑎 𝑚,𝑎
≤ β𝑡

Peak clipping limit, we will define a peak clipping limit for the total load. If the total load at
specific time is exceeding that peak limit then that peak will be clipped and shift to the other time
slot at which the load is minimum.

26
3.3 Methodology

Figure-3.8. Flow Chart

27
3.3.1 Known Parameters:

• Suppliers Tariff
• No of Consumers
• Set of Appliances
• Scheduling Time
• Load Profiles of Appliances
• Peak Clipping Limit
• Self-Generation of Microgrid

The flow chart shows the step by step process of our system working. The above are the
known parameters, Suppliers tariff is known to us in case our self-generation is not enough to
fulfill the requirement after the energy management then we must have to purchase energy
from the energy trading centers. Those suppliers can be microgirds or utility with which our
microgrid is linked. Then we will check which suppliers is economic for us at specific time
slot.
Second known parameter is number of consumers connected to our microgrid. So that we can
manage and supply the energy as per the no of consumers.
Set of appliances with each consumer will be known to our system. Which can be both
shiftable and non-shiftable appliances.
Scheduling time, as each consumer will have shiftabale and non-shiftable appliances. As only
shiftable loads can rescheduled so for energy management we must have the information of
shiftable load’s starting and closing timings.
Load profiles of each appliance will be known to us. By accumulating all the load of each
appliance from their load profiles we can find the total load.
Peak clipping limit, we will define a peak clipping limit for the total load. If the total load at
specific time is exceeding that peak limit then that peak will be clipped and shift to the other
time slot at which the load is minimum.
Self-Generation of microgrid, it is a known parameter as we have wind generation and solar
generation and we know its output power for one day so that we can run our system according
to our self-generation power.

28
The second block in our flow chart is a decision block, after fetching the known data then it
will check whether the self-generation is equal to or greater than the load demand. If the self-
generation is equal to the load demand then it will run all the appliances and if the surplus
energy is available after running the appliances then we can sell or store the surplus energy.
If the self-generation is less than the load demand then it will move to next block.
The third block is the energy management block, our system will reschedule the shiftable
loads and it will continuously compare the load curve with the self-generation curve until it
reaches the termination criteria, and it will check whether the load curve is satisfied or not.
If yes then it will run all the appliances as per new schedule and if no then it will move to next
block.
The fourth block will check the energy availability at utility and linked microgrids. And will
choose the less cost available energy at utility or microgrid, after this the load curve must be
satisfied.

29
Chapter 4: MATLAB Simulations Results
4.1 Results and Discussion
4.1.1 Load Curve of Appliances (For One Household)

Figure 4.1 shows the load curve taken for one household. The appliances are fans, energy savers
(LED), air conditioner, water motor and refrigerator, iron and dishwasher.
In the above appliances some of them are base loads and some are shiftable loads. Fan, energy
saver, air conditioner and refrigerator are base loads which cannot be rescheduled and the rest
appliances are shitable loads.
Y-label shows the power consumed in Watts by each appliance and X-axis is the 24 hours’ time
slot. The power consumed by fan from 0-8 hours is 200 Watts and from 8-14 hours two fans are
switched ON which makes its power consumption 250 Watts and curve explains the rest hours.
The power consumed by each LED is 10 Watts, from 0-14 LEDs are usually OFF and then one
LED bulb is switched ON from 14-18 hours, from 18-22 hours all of five LEDs are switched so
it makes the total power consumption 100 Watts [10][11].
The power consumed by air conditioner (AC) is 2000 Watts, from 0-8 hours is usually OFF and
then from 8-14 hours AC is switched ON which makes the total power consumption of 2000
Watts and so on.
The power consumed by iron is 1500 Watts, from 5-6, 9-11 and 17-20 hours.
The power consumed by water motor 400 Watts and it is ON at 6, 14, 17 and 18 hour for 3-4
minutes in 24 hours which makes total load of 800 Watts in whole day [12].
The washing machine has three key operational cycles: wash, rinse and dry, and completing all
cycles takes about 105 minutes. When the dish washing machine works, it can load between a
max of 1.2 kW and a minimum of 0.6 kW. For a whole dishwasher cycle energy usage is around
1.44 kWh. Dishwashing machine is designated as shiftable load category [13].
The fridge has mostly been dealt with and the daily refrigerator electricity consumption has been
shown in the red curve of Fig 2. During the day, the fridge was chilling and its energy use was
estimated at roughly 46 W/h during a cooling process. When Figure 2 is inspected, the cooler
conducts freezing twice for 15 minutes, consuming around 280 W during a defrost. The

30
defrosting process has a daily consumption effect of 140 W. The refrigerator consumed an
average hourly and average daily energy, respectively, at 32.61 W and 782.64 W [13].

Figure-4.1. Load Profile of Daily Use Appliances

4.1.2 Self Generation

As we have renewable energy resources so estimated the output power for wind generation and
solar generation for 24 hours and the total generation by wind turbine and solar panels.
The solar generation, wind generation and the total generation for 24 hours by solar panels and
wind turbine is shown in figure 4.2 [14].

31
 Figure-4.2. Self-Generation for 24 Hours

4.1.3 Total Load Curve

Figure 4.3 demonstrates the whole load curve of all shiftable and non-shiftable appliances for 24
hours for total of three consumers with the same appliances [14].
As this load curve is a residential load curve in summer season, the load is high from 19-22 hours
and at that time the load is exceeding the peak limit. So our system will perform the peak
clipping, in order to shift the peak to the time slot where load is minimum and the self-generated
energy is greater than the respective load.

Figure-4.3. Total Load Curve

32
 4.1.4. Comparison between Load Curve and Self-Generation

In Fig 4.4 the red curve shows the total load curve for 24 hours, the green shows the total
generation.
The comparison between the load curve and the total generation is satisfied from 0-6, 8-19 and
22-24 hours but load curve and the total generation is unsatisfied as the load curve is just above
the total generation curve it means that the self-generation is not enough to fulfill the demand
from 6-8 and 19-22 hours.
So now we have to perform the energy management by rescheduling the appliances.

Figure-4.4. Comparison between Load Curve and Self-Generation

4.1.5. Rescheduling

As we have shiftable and non shiftable loads so shifting the shiftable loads from the time where
the self-generation is not enough to fulfill the demand to the time where self-generation is enough
to handle these loads. Rescheduling purpose is to satisfy the load curve from our own energy.

33
 Figure-4.5. After Energy Management Supply-Demand Curve

Figure 4.5 illustrates the rescheduling of some of shiftable loads.

After rescheduling some portions of load curve are satisfied but the Load from 19-22 hours is
still unsatisfied and can’t be shifted because at that specific timing all the load is base load. So in
that case we share our demands with the energy trading center.

4.1.6. ‘m’ Microgrid Tariff

Figure 4.6 shows our micro grid tariff in euros from 0-11/18-19/21-24 hours the tariff is 0.03/kW
and the tariff at 12-14 and 17-18 hours is 0.2/kW [15].

Figure-4.6. Microgrid Tariff

34
 4.1.7. Self-Generation Vs Load Curves

Figure 4.7 shows the comparison among self-generation, load curve before energy management
and load curve after energy management. It can be seen that the load from 6-8 hours is shifted to
8-10 hours and the Peak is clipped from 7500 to 6300 Watts to the time 15-17 hours.

Figure-4.7. Comparison between Load Curves and Self-Generation

4.1.8. Load Curves Vs ‘m’ Microgrid Tariff

Figure 4.8 shows the comparison between load curves and our microgrid tariff.
Tariff is high at 18 and 19 hours called ON peak hours and load curve is a little high at Peak
hours so we reschedule and shift the load from ON peak hours to OFF peak hours and as a
result peak to average power ratio is decrease.

35
 Figure-4.8. Comparison between Load Curves and Tariff

4.1.9. Minimzed Cost Detail

Before Reschedule After Reschedule Total Cost Minimized

0.065$ Avg Tariff/day 0.045$ Avg Tariff/day 0.02 Avg Tariff/day
Total Bill of 3 Consumers Total Bill of 3 Consumers
122.25$/month 87.72$/month 34.53$/month
Total Bill of One Consumer Total Bill of One Consumer
40.75$/month 29.24$/month 11.51$/month
Table-1. Minimized cost Detail

The table above is the summary of costs comparison before and after energy managements.
After calculations we found that the tariff/day before rescheduling was high the reason was the
usage of electricity at off peak hours so some of the peak shiftable load was shifted to on peak
hours at which the electricity price was minimum as compared to the off peak hours.
As a result the average cost per is minimized as it can be seen in the above table which is a lot
savings in a monthly electricity bill.

36
4.1.10. Unsatisfied Portion of Load Curve

Figure 4.10 shows that the portion where load curve is unsatisfied by the self-generation. This
portion cannot be satisfied by energy management (rescheduling) as that portion the load curve is
mainly composed of base loads which cannot be shifted so we share our demands with the energy
trading center.

Unsatisfied portion of load curve

Figure-4.10. Unsatisfied Portion of Load Curve

4.1.11. Comparison of ‘u’ Utility and ‘n’ Microgrid Tariffs

Above figure shows the comparison between the microgrid tariff and utility tariff.

37
We can see in the figure above the microgrid tariff is constant 0.2$ from 21-23 hours and utility
tariff is 0.53$ at 21 hour, 0.21$ at 22 hour and 0.1$ at 23 hour. The average tariff of microgrid is
0.2$ from 21-23 hour and average tariff of utility is 0.28$ from 21-23 hour. So we choose
microgrid to purchase energy from due to low cost as compared to utility. [15]

Figure-4.11. Comparison between Utility and Microgrid Tariff

4.1.12. Satisfied Load Curve after Purchasing Energy

Fig 8 shows the satisfied load curve. Now the load curve is satisfied some portions of load curves
are shifted and for the remaining 800 Watts at 19-22 hours energy is purchased from the utility to
fulfill the demand.
The system is now ready to run all the appliances according to new schedule. The purchased
energy have made the load curve satisfied with the Self-generation,

38
Figure-4.12. Satisfied Load Curve

39
 CHAPTER 5: Conclusion and Future Work

5.1 Conclusion
This report represents energy management in a renewable power generating microgrid system on
the basis of on the grid. By comparing different load curves with the self-generation. When the
load curves were unsatisfied we studied two cases.
I. When the load curve was unsatisfied by the self-generation. We satisfied those load
curves by our self-generation by performing energy management (Rescheduling)
techniques.
II. When the load curve was unsatisfied by our self-generation, we perform energy
management (Rescheduling) but it didn’t work. So in this case we purchased energy
from utility/microgrid to satisfy our load curve.

5.2 Future Recommendations

The future work is to maximize the reliability of the system by using Genetic algorithm for
energy management and future work also involves the implementation and performance analysis
of the suggested energy management system into a real system.

40
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