Cooperative and Transactive Integration of Multiple Microgrids

The constant changes in electrical grids, such as the incorporation of distributed generators and the integration of microgrids, have resulted in various alterations in the way the power system functions. To address these changes, recent years have witnessed ongoing research into the concept of transactive energy. Here, the conventional operation of the electrical power system, historically characterized by unidirectional energy flow from bulk generation through the transmission and distribution systems to end-users, has experienced shifts due to the evolving dynamics of generation and demand, in which energy can be shared or transacted among many energy prosumers. This chapter presents an overview, from management to hardware, of the operation and requirements for effective energy transactions between prosumers. Game theory is introduced and explored as one of the most promising market topologies used in Transactive Energy. A real-life optimization problem, along with its Python code, is provided in the chapter. Additionally, a perspective on hardware requirements for enabling energy transactions between multiple microgrids is presented by exploring the multi-terminal converter. The topologies, control, and configuration are discussed, highlighting the advantages of using Voltage Source Converters interconnected through a common DC link.