Distributed energy systems (DES) have the potential to minimise costly network upgrades while increasing the proportion of renewable energy generation in the electrical grid, when properly designed. In contrast, poorly designed DES can accelerate the degeneration of existing network infrastructure. Most optimisation models used to design grid-connected DES have oversimplified or excluded constraints associated with alternating current (AC) power flow, as the latter has been studied in a standalone class of models known as Optimal Power Flow (OPF). A small subset of models, labelled DES-OPF models, have attempted to combine these independent frameworks. However, the impacts of using a DES-OPF framework on the resulting designs, as opposed to a conventional DES framework without AC power flow, have not been studied in previous work. This study aims to shed light on these impacts by proposing a bi-level method to solve the computationally-expensive DES-OPF framework, and simultaneously comparing results to a baseline MILP model that utilises direct current (DC) approximations in place of AC OPF, as found abundantly in literature. Two test cases of varying scale are employed to test the frameworks and compare resulting designs. The practical feasibility of the designs is assessed, based on whether the designs can mitigate network violations and energy wastage during standard operation. Results demonstrate that the baseline MILP underestimates total costs due to its inability to detect current and voltage violations, resulting in a 37% increase for one case study when tested with the DES-OPF framework. Major implications on battery capacity are also observed, primarily to manage higher levels of renewable energy curtailment, which emphasise the need to use DES-OPF frameworks when designing grid-connected DES.
Comment: 21 pages, 7 figures