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Abstract
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Passive distribution networks have evolved into active distribution networks (ADNs) with the presence of
distributed energy resources. Microgrids (MGs), as subsystems in ADN, support the integration of renewable
energy sources (RESs) and flexible loads. However, the uncertainties of RESs and privacy of different agents can
pose challenges to the system’s optimal operation. This paper proposes a distributed energy management
strategy for an ADN with a multi-microgrid (MMG), based on the transactive energy market. The goal is to
minimize the operation cost of ADN and MGs while enhancing privacy and addressing uncertainties. To achieve
this, first, a distributed optimization algorithm based on the alternating direction method of multipliers is applied
for energy management. Then, adaptive robust optimization (ARO) has been utilized to consider the uncertainties
in the local optimization problem of distribution system operators and each MG. The column-andconstraint
generation (C&CG) algorithm and nested C&CG algorithm are adopted to solve the tri-level ARO
problem for each agent, where day-ahead decisions, worst-case uncertainty realizations, and real-time corrective
actions are considered. Finally, the proposed scheme was investigated through three cases, focusing on different
incentive pricing schemes and operational limits, and results proved the effectiveness of the incentive energy
pricing and internal energy market.
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