Economic analysis of a data center virtual power plant participating in demand response

Labi Bajracharyay, Shekhar Awasthi, Santosh Chalise, Timothy M. Hansen, Reinaldo Tonkoski

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

14 Scopus citations

Abstract

Data centers represent a large load for the grid, and the number of data centers are increasing at a high rate. The transmission network in the grid is becoming congested as a result of the load growth. Data centers have underutilized energy resources, such as backup generators and battery storage, which can be used for demand response (DR) to benefit both the electric power system and the data center. Therefore, in this paper, data center energy resources, including renewable energy, are aggregated and controlled using an energy management system (EMS) to operate as a virtual power plant (VPP). The data center as a VPP participates in a day-ahead DR program to relieve network congestion and improve market efficiency. A case study is conducted in which the data center is connected to bus 8 of the modified IEEE 30-bus test system to evaluate the potential economic savings by participating in the DR program, coordinated by the Independent System Operator (ISO). We show that the savings of the data center operating as a VPP and participating in the DR program far outweighs the expense due to operating its own generators.

Original languageEnglish
Title of host publication2016 IEEE Power and Energy Society General Meeting, PESGM 2016
PublisherIEEE Computer Society
ISBN (Electronic)9781509041688
DOIs
StatePublished - 10 Nov 2016
Externally publishedYes
Event2016 IEEE Power and Energy Society General Meeting, PESGM 2016 - Boston, United States
Duration: 17 Jul 201621 Jul 2016

Publication series

NameIEEE Power and Energy Society General Meeting
Volume2016-November
ISSN (Print)1944-9925
ISSN (Electronic)1944-9933

Conference

Conference2016 IEEE Power and Energy Society General Meeting, PESGM 2016
Country/TerritoryUnited States
CityBoston
Period17/07/1621/07/16

Keywords

  • Data center energy management
  • Demand response
  • Locational marginal price
  • Network congestion
  • Virtual power plant

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