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Demand response aggregators in microgrid energy trading

This paper studies the market interactions between MicroGrids (MGs) and Aggregators (AGs) from a noncooperative perspective. Specifically, we study a Generalized Nash Equilibrium Problem (GNEP), where players are the MGs and AGs, and aim at maximizing their respective benefits. MGs' actions are the generated energy as well as the traded energy with other MGs, whereas AGs actions are the load scheduling of their subscribed users. The variational solutions of the GNEP are characterized and a distributed algorithm for its computation is proposed. By numerical simulations, it is shown that the variational solutions of the GNEP perform close to the solution of the network utility maximization problem.