Power Management of Remote Microgrids Considering Battery Lifetime

Currently, 20% (1.3 billion) of the world’s population still lacks access to electricity and many live in remote areas where connection to the grid is not economical or practical. Remote microgrids could be the solution to the problem because they are designed to provide power for small communities within clearly defined electrical boundaries. Reducing the cost of electricity for remote microgrids can help to increase access to electricity for populations in remote areas and developing countries. The integration of renewable energy and batteries in diesel based microgrids has shown to be effective in reducing fuel consumption. However, the operational cost remains high due to the low lifetime of batteries, which are heavily used to improve the system\u27s efficiency. In microgrid operation, a battery can act as a source to augment the generator or a load to ensure full load operation. In addition, a battery increases the utilization of PV by storing extra energy. However, the battery has a limited energy throughput. Therefore, it is required to provide a balance between fuel consumption and battery lifetime throughput in order to lower the cost of operation. This work presents a two-layer power management system for remote microgrids. The first layer is day ahead scheduling, where power set points of dispatchable resources were calculated. The second layer is real-time dispatch, where schedule set points from the first layer are accepted and resources are dispatched accordingly. A novel scheduling algorithm is proposed for a dispatch layer, which considers the battery lifetime in optimization and is expected to reduce the operational cost of the microgrid. This method is based on a goal programming approach which has the fuel and the battery wear cost as two objectives to achieve. The effectiveness of this method was evaluated through a simulation study of a PV-diesel hybrid microgrid using deterministic and stochastic approach of optimization