Dual Auction Peer-to-Peer Control Scheme for Empowering Prosumers Participation in the Local Energy Markets

The emerging trend of distributed and renewable energy sources encourages energy trading in the electricity market. Various forms of energy markets are evolving for successful energy trading. The local energy market is one of them in which various participants are actively coordinating for optimal utilization of power. Such type of local energy markets provides individual prosumers to trade their surplus energy in the neighbourhood in peer-to-peer topology. The complexity of such type of local energy market is increasing in terms of structure, control, coordination, and cost estimation. For the cooperative behaviour of the local energy markets, a dual auction coordination control scheme is important to encourage more prosumers for energy trading. We proposed a novel scheme that performs dual auctions for prosumers in a decentralized fashion. We assessed dual auction matching by coordinating prosumers and consumers to sell and purchase energy in the local energy market. The aggregator performed balancing in the proposed dual auction scheme as an autonomous entity. The results were simulated in MATLAB and JADE for the complex prosumer peer-to-peer network. Our proposed scheme shows each peer dual auction matching improves from 0.95 to 2.03 for optimal hierarchal energy trading in energy markets. For peer participation, the participation ratio increased from 0.684 to 1.74 and optimal aggregator coordination from 9.18% to 19% in the local energy markets.