An Energy Trading System with Consideration of CO₂ Emissions

Abstract

Abatement of CO₂ emission is one of the most important issues for us in the 21st century about preservation of the earth environment. This paper addresses a utility operations planning problem for distributed energy management systems (DEMSs), where we are to obtain optimal plans that minimize both of costs and CO₂ emissions. A DEMS consists of plural entities that seek their own economic profits. In this paper, we give a mathematical formulation of the utility operations planning problem for each entity, and propose an energy trading market, which utilizes a multi-attribute auction protocol in order to deal with both of a price and a CO₂ emission rate. Experimental results show that collaboration among entities through the market provides more profitable plan for each entity and abatement of CO₂ emission is also achieved.