Privacy constrained energy management in microgrid systems

We propose privacy-preserved joint supply- and demand-side energy management strategies for a microgrid system that consists of several cells and a control center, with each cell composed of a smart meter, a distributed energy generator and some energy consuming customers. It is assumed that the cells can cooperate by exchanging their locally generated energy and they can obtain external energy, both through the control center. The problem is formulated as privacy-constrained linear optimization problem to optimality regulate the energy utilization within the microgrid system for reducing the energy shortage which needs to be fulfilled by externally imported energy. To solve this problem, we develop a privacy-preserving scheme that performs the proposed dual decomposition-based algorithm in a distributed fashion with the limited information exchanges. Finally, the optimal energy schedule is obtained without the privacy violation and simulation results are provided to demonstrate the superior performance of the proposed techniques over the traditional methods.