- Name
- Magnus Korpås
- Title
- WP3 Lead
- Organization
Methods for Cost Allocation Among Prosumers and Consumers Using Cooperative Game Theory
Challenge and objective
- Increased installation of RES in distribution grid. Evaluate alternative methods for allocating costs.
Work performed
- Analyse two game theoretical solution concepts (nucleolus and Shapley value) for cost allocation among prosumers and consumers.
Significant results
- Both methods provide stable cost allocations under minor deviations. Deviation between the methods increases, as the value of the battery system increases.
- The interpretation of fairness is a central issue. Results reflect that the Shapley value is based on individual contribution; thus the most active player is favored at the expense of the player with lesser resources.
Impact for distribution system innovation
- Increased knowledge related to costs for customers with both consumption, generation and storage.
Reference in CINELDI
- E. Tveite, "Methods for Cost Allocation Among Prosumers and Consumers Using Cooperative Game Theory", Master thesis, NTNU, 2018.
- E. Tveita, M. Löschenbrand, S. Bjarghov and H. Farahmand, Comparison of Cost Allocation Strategies among Prosumers and Consumers in a Cooperative Game", SEST 2018.