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.
Relative deviation between nucleolus and Shapley for each player, along with the value of the battery system [%]
Relative deviation between nucleolus and Shapley for each player, along with the value of the battery system [%]

 

Magnus Korpås

WP3 Lead
+47 970 42 009
Name
Magnus Korpås
Title
WP3 Lead
Organization

 

Reference in CINELDI