Consensus‐based distributed approach to lossy economic power dispatch of distributed energy resources

Economic dispatch problem (EDP) of distributed energy resources (DERs) is the key to achieve balanced coordination and economic operation of renewable energy and conventional generation, which is of vital significance to smart grids. This paper mainly investigates the EDP of DERs with transmission losses. We formulate the lossy EDP as an optimization problem, of which the objective is to minimize the aggregated production cost under physical constraints. It is a great challenge to solve the lossy EDP in a distributed fashion, as the nonconvexity of the transmission loss formula has posed extra difficulties. This paper proposes a consensus-based distributed lambda iteration algorithm to solve the lossy EDP, and a damping mechanism is designed to overcome the oscillatory problem that conventional lambda iterations often suffer. The proposed algorithm is further improved, in order to tackle the prohibited operating zones of generators. Exhaustive simulations are presented to illustrate the proposed algorithm.