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Decentralized Control of DR Using a Multi-agent Method

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Sustainable Interdependent Networks

Abstract

Demand response (DR) is one of the most cost-effective elements of residential and small industrial building for the purpose of reducing the cost of energy. Today with broadening of the smart grid, electricity market and especially smart home, using DR can reduce cost and even make profits for consumers. On the other hand, utilizing centralized controls and have bidirectional communications Bi-directional communication between DR aggregators and consumers make many problems such as scalability and privacy violation. In this chapter, we propose a multi-agent method based on a Q-learning algorithm Q-learning algorithm for decentralized control of DR. Q-learning is a model-free reinforcement learning Reinforcement learning technique and a simple way for agents to learn how to act optimally in controlled Markovian domains. With this method, each consumer adapts its bidding and buying strategy over time according to the market outcomes. We consider energy supply for consumers such as small-scale renewable energy generators. We compare the result of the proposed method with a centralized aggregator-based approach that shows the effectiveness of the proposed decentralized DR market Decentralized DR market.

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Acknowledgements

The work of Saber Talari, Miadreza Shafie-khah and João P.S. Catalão was supported by FEDER funds through COMPETE 2020 and by Portuguese funds through FCT, under Projects SAICT-PAC/0004/2015—POCI-01-0145-FEDER-016434, POCI-01-0145-FEDER-006961, UID/EEA/50014/2013, UID/CEC/50021/2013, and UID/EMS/00151/2013. Also, the research leading to these results has received funding from the EU Seventh Framework Programme FP7/2007-2013 under grant agreement no. 309048.

Amin Shokri Gazafroudi and Juan Manuel Corchado acknowledge the support by the European Commission H2020 MSCA-RISE-2014: Marie Sklodowska-Curie project DREAM-GO Enabling Demand Response for short and real-time Efficient And Market Based Smart Grid Operation—An intelligent and real-time simulation approach ref. 641794. Moreover, Amin Shokri Gazafroudi acknowledge the support by the Ministry of Education of the Junta de Castilla y León and the European Social Fund through a grant from predoctoral recruitment of research personnel associated with the research project “Arquitectura multiagente para la gestión eficaz de redes de energía a través del uso de técnicas de intelligencia artificial” of the University of Salamanca.

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Correspondence to Miadreza Shafie-khah .

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Najafi, S., Talari, S., Gazafroudi, A.S., Shafie-khah, M., Corchado, J.M., Catalão, J.P.S. (2018). Decentralized Control of DR Using a Multi-agent Method. In: Amini, M., Boroojeni, K., Iyengar, S., Pardalos, P., Blaabjerg, F., Madni, A. (eds) Sustainable Interdependent Networks. Studies in Systems, Decision and Control, vol 145. Springer, Cham. https://doi.org/10.1007/978-3-319-74412-4_13

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  • DOI: https://doi.org/10.1007/978-3-319-74412-4_13

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