# An Optimization Model for Energy Community Costs Minimization Considering a Local Electricity Market between Prosumers and Electric Vehicles

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## Abstract

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## 1. Introduction

- An optimization model that determines the best electricity transactions between prosumers and EVs in a local energy community.
- The implementation of a new P2V market where the EVs can buy electricity at the cheapest prices compared to tariff available on retailers.
- The possibility of prosumers to sell the excess RES generation to EVs in a more profitable way.
- The model includes realistic constraints, prosumers load and generation profiles, PV systems, energy storage systems, EVs and market transactions constraints.

## 2. Proposed Formulation

## 3. Case Study

## 4. Results

- Scenario 1—Without the P2V market and considering the Portuguese feed-in tariff (0.095 EUR/kWh) for electricity export.
- Scenario 2—With P2V market and considering the Portuguese feed-in tariff (0.095 EUR/kWh) for electricity export.
- Scenario 3—Without the P2V market and considering the MIBEL Spot price (0.050 EUR/kWh) for electricity export.
- Scenario 4—With P2V market and considering the MIBEL Spot price (0.050 EUR/kWh) for electricity export.
- Scenario 5—Without P2V market and electricity export to the grid not remunerated.
- Scenario 6—With P2V market and electricity export to the grid not remunerated.

## 5. Conclusions

## Author Contributions

## Funding

## Institutional Review Board Statement

## Informed Consent Statement

## Data Availability Statement

## Conflicts of Interest

## Nomenclature

Indices: | |

$t$ | Periods |

$i$ | Prosumers |

$j$ | Vehicles |

Parameters: | |

${\eta}_{j}^{EVch}$ | Efficiency of EV battery charge |

${\eta}_{i}^{ch}$ | Efficiency of prosumer battery charge |

${\eta}_{i}^{dch}$ | Efficiency of prosumer battery discharge |

${P}_{j,t}^{EVMove}$ | Electricity consumption of EV during trips |

${P}_{i,t}^{gen}$ | Electricity generated |

${\Delta}_{t}$ | Factor adjustment |

$FixCost$ | Fixed costs |

${X}_{j,t}^{chEVhome}$ | Indicates if the EV is at home (1) or not (0) |

${X}_{j,t}^{EVMove}$ | Indication if the EV is travelling (0) or it is available to charge (1) |

${P}_{i,t}^{maxsell}$ | Limit of electricity export to the grid |

${P}_{t,i}^{load}$ | Load of each prosumer |

${E}_{i,t}^{maxBat}$ | Maximum capacity of the prosumer battery |

${P}_{i,t}^{maxP2V}$ | Maximum limit electricity sale to the EV |

${P}_{j,t}^{EVmaxbuy}$ | Maximum limit for EV electricity purchase to the retailer |

${P}_{i,t}^{maxch}$ | Maximum power for prosumer battery charge |

${P}_{i,t}^{maxdch}$ | Maximum power for the prosumer battery discharge |

${P}_{j,t}^{EVmaxch}$ | Maximum power of EV battery charge located at prosumer $i$ |

${P}_{i,t}^{\mathrm{max}buy}$ | Maximum power that prosumer can buy from the grid |

${E}_{j,t}^{EVmaxBat}$ | Maximum value for the EV battery capacity |

${\alpha}_{j}$ | Minimum retail price for each EV |

${E}_{j,t}^{EVminBat}$ | Minimum value for the EV battery capacity |

${N}_{t}$ | Number of periods |

${N}_{i}$ | Number of prosumers |

${N}_{j}$ | Number of vehicles |

${\varphi}_{i,t}^{sell}$ | Price of electricity export to the grid |

${\varphi}_{i,j,t}^{P2Vsell}$ | Price of electricity transaction between prosumer and EV |

${\varphi}_{i,t}^{buy}$ | Retail price of electricity |

${\varphi}_{j,t}^{EVbuy}$ | Retail price to charge EV from the grid |

Variables: | |

$Bi{n}_{j,t}^{chEVhome}$ | Binary variable for EV battery that represents the charge action |

$Bi{n}_{i,t}^{buy}$ | Binary variable for prosumer buy from grid |

$Bi{n}_{i,t}^{sell}$ | Binary variable for prosumer sell to grid |

$Bi{n}_{i,j,t}^{P2Vtransacted}$ | Binary variable for prosumer to EV transaction |

$Bi{n}_{i,t}^{ch}$ | Binary variable for the prosumer battery that represents the charge action |

$Bi{n}_{i,t}^{dch}$ | Binary variable for the prosumer battery that represents the discharge action |

$Bi{n}_{j,t}^{EVbuy}$ | Binary variable to active the transaction of electricity between EV and retailer |

$E{V}_{j}^{Costs}$ | Electric vehicles costs |

${P}_{i,t}^{ch}$ | Electricity battery charge |

${P}_{j,t}^{EVch}$ | Electricity charged by each EV |

${P}_{i,j,t}^{chEVhome}$ | Electricity charged by EV from the house |

${P}_{j,t}^{EVbuy}$ | Electricity purchase by each EV to the retailer |

${E}_{j,t}^{EVBat}$ | Electricity state of the EV battery |

${P}_{i,j,t}^{P2Vtransact}$ | Electricity transacted between prosumer and EV |

${P}_{i,t}^{dch}$ | Energy battery discharge |

${P}_{j,t}^{buy}$ | EV electricity purchase from the retailer |

$Pr{o}_{i}^{Costs}$ | Prosumer costs |

${P}_{i,t}^{buy}$ | Prosumers electricity purchase from the retailer |

${P}_{i,t}^{sell}$ | Prosumers electricity sale to the grid |

${E}_{i,t}^{Bat}$ | State of charge of the battery |

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Brand | Model | Type | Battery Capacity (kWh) | Charge Rate (kW) | Discharge Rate (kW) | Efficiency (%) | No. |
---|---|---|---|---|---|---|---|

Sonnen | 9.43 | Stationary | 15.000 | 3.300 | 3.300 | 0.9 | 7 |

Tesla | Powerwall | Stationary | 13.500 | 5.000 | 5.000 | 0.9 | 6 |

Alpha | Smile | Stationary | 14.500 | 2.867 | 2.867 | 0.9 | 3 |

Tesla | Model 3 Sta. Range + | EV | 50.000 | 11.000 | - | 0.9 | 5 |

VW | e-Golf | EV | 35.800 | 7.200 | - | 0.9 | 4 |

Nissan | Leaf | EV | 40.000 | 3.600 | - | 0.9 | 4 |

VW | ID.4 | EV | 82.000 | 11.000 | - | 0.9 | 3 |

VW | e-Up! | EV | 36.800 | 7.200 | - | 0.9 | 2 |

Honda | e | EV | 35.500 | 6.600 | - | 0.9 | 1 |

Peugeot | e-208 | EV | 50.000 | 7.400 | - | 0.9 | 1 |

Parameter | Designation | Value | Units | |
---|---|---|---|---|

Min | Max | |||

${N}_{i}$ | Number of prosumers | 15 | - | |

${N}_{j}$ | Number of EV | 20 | - | |

${\varphi}_{i,t}^{buy}$ | Retail price (Prosumers) | 0.094 | 0.294 | EUR/kWh |

${\varphi}_{i,t}^{sell}$ | Export price (feed-in, spot market) | 0 | 0.095 | EUR/kWh |

${\varphi}_{j,t}^{EVbuy}$ | Retail price (EVs) | 0.101 | 0.189 | EUR/kWh |

${\varphi}_{i,j,t}^{P2Vsell},{\varphi}_{j,i,t}^{P2Vbuy}$ | P2V prices | 0.051 | 0.098 | EUR/kWh |

$FixCos{t}_{i}$ | Fixed costs of prosumers | 0.218 | 1.024 | EUR/day |

$FixCos{t}_{j}$ | Fixed costs of EV | 0.292 | 0.719 | EUR/day |

${P}_{i,t}^{gen}$ | Prosumer electricity generation | 0 | 10.349 | kW |

${P}_{i,t}^{load}$ | Prosumers electricity load | 0 | 10.277 | kW |

${P}_{i,t}^{\mathrm{max}buy}$ | The maximum power limit (prosumers) | 3.450 | 20.700 | kW |

${P}_{i,t}^{\mathrm{max}sell}$ | The maximum export power limit | 1.725 | 10.350 | kW |

${P}_{i,t}^{maxP2Vsell}$ | The maximum P2V power transaction limit | 1.725 | 10.350 | kW |

${E}_{i}^{Batinit}$ | The initial level of prosumer battery | 0 | kWh | |

${P}_{i,t}^{maxdch},{P}_{i,t}^{maxch}$ | Max. charge/discharge power prosumer battery | 2.867 | 5.000 | kW |

${E}_{i,t}^{maxBat}$ | The maximum level for the prosumer battery | 13.500 | 15.000 | kWh |

${P}_{j,t}^{EVMove}$ | Consumption related to PV movements | 0 | 13.300 | kWh |

${P}_{j,t}^{EVmaxch}$ | The maximum limit for EV charge | 3.600 | 11.000 | kW |

${P}_{j,t}^{EVmaxbuy}$ | The maximum power limit retailer contract | 4.600 | 13.800 | kW |

${E}_{j,t}^{EVminBat}$ | The minimum level for the prosumer battery | 7.100 | 16.400 | kWh |

${E}_{j,t}^{EVmaxBat}$ | The maximum level for EV battery | 35.500 | 82.000 | kWh |

${E}_{j}^{EVBatinit}$ | The initial level of EV battery | 7.100 | 16.400 | kWh |

${P}_{i,j,t}^{maxP2Vbuy}$ | Maximum P2V power transaction limit (EVs) | 4.600 | 13.800 | kW |

Export Grid Price | Sce. | P2V Market | Total Cost (EUR) | Average Prosumer Cost (EUR) | Average EV Cost (EUR) | P2V Red. (%) | Time (s) |
---|---|---|---|---|---|---|---|

Feed-in tariff | 1 | No | 74.76 | 2.959 | 1.52 | - | 2.94 |

2 | Yes | 73.60 | 2.956 | 1.46 | 1.56 | 182.84 | |

Market spot price | 3 | No | 75.66 | 3.019 | 1.52 | - | 2.72 |

4 | Yes | 73.79 | 3.014 | 1.43 | 2.47 | 78.16 | |

Export not remunerated | 5 | No | 76.66 | 3.086 | 1.52 | - | 2.67 |

6 | Yes | 73.99 | 3.079 | 1.39 | 3.48 | 117.08 |

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**MDPI and ACS Style**

Faia, R.; Soares, J.; Vale, Z.; Corchado, J.M.
An Optimization Model for Energy Community Costs Minimization Considering a Local Electricity Market between Prosumers and Electric Vehicles. *Electronics* **2021**, *10*, 129.
https://doi.org/10.3390/electronics10020129

**AMA Style**

Faia R, Soares J, Vale Z, Corchado JM.
An Optimization Model for Energy Community Costs Minimization Considering a Local Electricity Market between Prosumers and Electric Vehicles. *Electronics*. 2021; 10(2):129.
https://doi.org/10.3390/electronics10020129

**Chicago/Turabian Style**

Faia, Ricardo, João Soares, Zita Vale, and Juan Manuel Corchado.
2021. "An Optimization Model for Energy Community Costs Minimization Considering a Local Electricity Market between Prosumers and Electric Vehicles" *Electronics* 10, no. 2: 129.
https://doi.org/10.3390/electronics10020129