DRPT2008 6-9 April 2008 Nanjing China
Study of Energy Management System for
Distributed Generation Systems
Yingyuan Zhang, Meiqin Mao, Ming Ding, and Liuchen Chang, Senior Member, IEEE
Abstract--Along with the increasing distributed generation
systems, the improvement of information technologies, the
development of the power market and the shock of serious
blackouts, microgrids will play an important role during electric
utility deregulation and restructuring efforts. Therefore,
traditional energy management systems (EMS) face many
opportunities and challenges. A new generation of EMS is being
developed to meet these challenges. Based on current state of the
research on distributed generation systems and a review of the
development of EMS, this paper summarizes aspects to be
considered for development of a new generation of EMS.
Besides, the objectives and development of relevant EMS
software are presented, which will apply to a laboratorial
microgrid containing a photovoltaic generation subsystem, a
wind energy generation subsystem, fuel cells, batteries and
ultracapacitors. And the proposed EMS software will be
developed by using advanced computing technologies to
conform with the IEC61970 standards.
Index Terms--distributed energy systems, distributed generation
systems (DGS), energy management system (EMS), microgrids
1 developed by using advanced computing technologies to
I. INTRODUCTION
Nowadays, power production is centralized in large-scale
units with the distant transmission at high voltage levels and
bulky distribution systems. Although there are many
advantages in such high-capacity networks, there are also
disadvantages. For example, in high-capacity networks, it is
difficult to track loads flexibly and easy to make local faults
expand. These problems could lead to serious blackouts
[1]-[2]. In order to adapt to changes quickly and make up for
deficiencies, in recent years, many attentions are paid to
distributed generation systems and microgrids. The main
benefits of these systems include that they supply power
locally, reduce grid investment, operation costs and
transmission line loss, complement the grid reciprocally,
decrease network capacity, shorten the gap between peak and
valley loads, and increase reliability as well as reduce
environmental pollution[1]-[5]. Distributed energy systems
1 penetrate into a utility and achieve demand-side management
This work is supported by the MOE of P.R.C under Grant 306004.
Yingyuan Zhang is with Research Center for Photovoltaic System
Engineering, MOE, School of Electrical Engineering and Automation, Hefei
University of Technology, Hefei, China. (e-mail: zhyyer@126.com).
Meiqin Mao is with Research Center for Photovoltaic System
Engineering, MOE, School of Electrical Engineering and Automation, Hefei
University of Technology, Hefei, China. (e-mail: mmqmail@163.com).
Ming Ding is with Research Center for Photovoltaic System
Engineering, MOE, School of Electrical Engineering and Automation, Hefei
University of Technology, Hefei, China. (e-mail: mingding56@126.com).
Liuchen Chang is with the Department of Electrical and Computer
Engineering, University of New Brunswick, Fredericton, NB, Canada.
(e-mail: LCHANG@UNB.CA).
978-7-900714-13-8/08/ ©2008DRPT 2465
and microgrids must be an important aspect of sustainable
energy development during electric utility deregulation and
restructuring efforts.
Because of the increasing variety and scale of distributed
resources, the advances in information technologies, the
development of power market and several serious blackouts,
existing EMSs are faced with many opportunities and
challenges. A new generation of EMS is being developed to
meet these challenges. Based on the current status of research
on distributed generation systems and a review of the
development of EMS, this paper summarizes aspects to be
considered for the development of a new generation of EMS.
Besides, the objectives and development of relevant EMS
software are presented, which will be applied to a laboratorial
microgrid containing a photovoltaic energy system, a wind
energy system, fuel cells, batteries and ultracapacitors. Based
on the existing achievements, the EMS software will be
conform with the IEC61970 standards.
II. THE STATUS OF DISTRIBUTED GENERATION SYSTEMS
Distributed generation systems (DGS) can separate from
the grid and provide power directly to a small number of
users. They can also provide energy to users together with the
grid. DGS are new energy systems that are based on the
optimization of resources, environment and efficiency by
identifying optimum operational methods and capacity
[2]-[3]. Distributed generation sources principally include gas
turbines, internal combustion engines, microturbines,
photovoltaic cells, wind generators, biomass combustions,
fuel cells, batteries, ultracapacitors and other renewable
energy and storage systems. In recent years, photovoltaic (PV)
generation and wind power generation have been quickly
developed.
The microgrid is a new energy supply and network
management technology that appeared by the end of last
century. It could allow renewable and clean resources to
and maximum utilization of existing energy. A microgrid
system could operate in stand-alone or grid-connected mode
and could switch between the two modes seamlessly by using
static switches. Users of DG systems could obtain large
quantities of cheap power from the grid and also return
energy to the grid when their production capacity is surplus
[6]-[10]. Therefore, when the microgrid concept was put
forward, it immediately attracted attentions of worldwide
experts in both the energy and power industries. Many
 DRPT2008 6-9 April 2008 Nanjing China
countries carry out basic scientific research in this field. The
European Union, the United States, and Japan all carry out
research on DGS from different aspects. In China, the
research on DGS and microgrids is underway.
At present, the majority of DGS are new energy systems or
renewable energy generation systems, e.g., combined heat
and power (CHP) systems, combined cooling, heat, and
power (CCHP) systems, PV generation systems and wind
energy systems. DGS are not widely used because of
imperfect technologies of DGS, the immature power retail
market, the lack of appropriate control measures for the
influence of DGS on the grid and other factors. Therefore,
DGS have been a hot topic for research in recent years.
III. A REVIEW OF EMS
An Energy Management System (EMS) is a modern
dispatching automation system mainly aimed at power
generation and transmission systems. It provides real-time
grid information to dispatchers, as well as makes decisions
about dispatching, network management and control. The
EMS can enhance safety, improve power quality and improve
the economic operation of the grid. Apart from the basic
Supervisor Control And Data Acquisition (SCADA), an EMS
also contains Power Advanced Softwares (PAS) which are
used for energy analysis and management of the grid and
Dispatcher Training Simulator (DTS) [11]. As an integrated
technology, dispatching automation is growing along with
the improvement of power system operational theories,
control measures, computer technologies, communication
and power electronic technology.
Dispatching automation roughly experienced three stages
of development. In the first stage, the dispatching center and
the plants within the system could only use the telephone to
gather relevant data and control scheduling.
The second stage was remote technology, which made the
dispatching center, the plants, and the substations gather
various operating parameters and switch states by using
remote measurement and communication technology.
Through remote adjustment and control, the dispatching
center could make some switches work or not work. The
Remote technology is still an important part of dispatching
automation.
The third stage was the application of computer
technology to the dispatching department. SCADA systems,
which are composed of computers and corresponding
communication equipments, are widely used in power
dispatching departments. And SCADA systems play a major
role in the security, stability and operation of the whole
power system.
In the 1960s, digital computers began to be used for
Economic load Dispatching Control (EDC) of power systems.
Since then, many automatic monitoring and control issues
have been researched, achieving significant economic
benefits. Based on SCADA functions, EMSs provide safety
analysis and safety control functions as well as other
scheduling management. This means that dispatchers can do
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more analyse, and make more judgment and scheduling
decisions [11]-[12].
Because of the increasing variety and scale of distributed
resources, and the introduction of microgrid technology, a
new EMS must be considered for distributed energy systems
and microgrids. [5]-[10], [14].
IV. DEVELOPMENT OF EMS FOR DISTRIBUTED GENERATION
SYSTEMS
A. Hardware Platform
At present, a hardware platform of distributed generation
system has been established. It includes photovoltaic
generation subsystems, wind energy generation subsystems,
fuel cells, batteries and ultracapacitors. Moreover, there are
conventional generating units, high voltage DC flexible, and
supervisor control and data acquisition subsystem. And the
functions to be added are power quality analysis subsystem,
parallel inverters subsystem, real-time weather measuring
subsystem and others.
B. Software Platform
Based on the hardware platform, a software platform is
being developed, which is aimed at microgrid including
various distributed generators and storage devices. A new
generation of EMS involving a variety of power advanced
applications is being developed in order to implement the
simulative operation and energy management of a microgrid.
It is expected to carry out real-time energy management and
dispatching on the basis of the hardware platform.
Although the introduction of DGS has significant
advantages such as optimizing the use of energy, enhancing
economic benefits and environmental benefits, their inherent
characteristics make the power flow probablely in
bidirections. This will have a profound impact on the entire
network. If DGS are put into operation blindly, they will
endanger the security and stability of the whole grid.
Two aspects should be focused on to develop the new
EMS. The first is to perform research on the differences
between DGS and conventional generation systems, the
impact of introducing DG systems, the control technologies
for system components, optimal flow methods and
dispatching strategies for microgrids composed of various
distributed resources. The second is to comply with related
standards and to use advanced computing technologies
extensively to develop the EMS software [6]-[10], [12]-[25].
In summary, based on existing achievements, the new
generation of EMSs should:
1) Comply with a series of IEC 61970 standards. The
standards are based on long-term experiences of dispatching
automation technologies. They are also applied to
dispatching automation technology in reverse. The IEC
61970 standards are constituted by the 57th workteam of
international electrical technical committee. They have
defined application program interface of EMS, primarily
involving CIM and CIS. They facilitate the integration
among different applications of EMS developed by different
companies, the contacts between EMS and other systems
 DRPT2008 6-9 April 2008 Nanjing China
within dispatching center, and communications models
among EMS of different dispatching centers.
2) Establish models of DGS. They can be divided into two
levels: component-level and system-level. Compared with
traditional EMS, the new generation of EMS for distributed
generation systems consists of some generating subsystems
such as wind energy generation subsystems，photovoltaic
generation subsystems，fuel cell subsystems, microturbine
generation subsystems; some storage subsystems such as
batteries and ultracapacitors; and other auxiliary equipments,
grid-connected inverters, high voltage DC flexible, weather
equipments etc..
Because of the varieties and diverse characteristics of
generating units, mathematical models of components and
random models of contributing power of DGS are required.
Simultaneously, CIM models are needed to be expanded and
added. And the database is also to be amended.
In distributed generation systems, new generating and
dispatching strategies should be adopted so that system-level
models of control, operation and optimization configuration
could be established.
3) Forecast about renewable energy capacity of DG units
and simulation of future weather situations. The accurate
prediction of capacity provided by PV cells and wind
turbines (both short and long-term) is crucial to planning a
reasonably distributed microgrid system and key to ensuring
that the microgrid operates reliably.
4) Reconsider unit commitment in distributed microgrid
systems. Traditionally, unit commitment is based on the
combination of different thermal generating units. In
distributed microgrid systems, the variety of units and the
characteristics of each power supply require a new power
production schedule to meet requirements.
5) Adjust power flow among microgrids. For DGS, power
flow is used to evaluate the impact on the grid when DGS
operate in grid-connected mode. Power flow is also the basis
of stability analysis to the grid and other theoretical research
work.
The grid is transformed from radial-type into a network
spread with power supplies and users because of DGS.
Meanwhile, the output of photovoltaic cells and wind engines
is random due to the effect of weather. These along with load
changes make the power flow uncertain. When DGS supply
more power than the current load requires, part or even all of
the flow could be reversed. Traditional flow control methods
will be no longer suitable. New solutions must be found.
6) Comprise proper dispatching and management
strategies for microgrids. In order to guarantee that
microgrids can operate efficiently, reasonable dispatching
and management strategies should be investigated, which
involve the randomness of actual production, the uncertainty
of power flow, the operational diversity of the microgrid, the
power market, and new energy policies. The strategies could
integrate local thermoelectric demand, weather conditions,
pricing, fuel consumption, power quality requirements,
wholesale/retail service demands, demand side management
requirements, and the level of congestion to make decisions.
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These depend on new network and distributed control
theories, computing and evaluating methods so that to
support distributed microgrid operated reliably, effectively
and flexibly.
7）Consist of appropriate optimization algorithms. There
are many subsystems in new EMS for distributed generation
systems, and they are very different from each other.
Consequently, the optimization algorithm and solution is
more complex contrasted with the traditional EMS.
Economic dispatch is a very complex optimization problem.
The algorithm must improve the economics as far as possible,
satisfying security constraints and power quality
requirements. Traditional methods, such as heuristic methods,
dynamic programming, mixed-integer programming, and the
Lagrangian relaxation method, are difficult to solve the
problem completely. It is difficult to find the global optimal
solution using these methods, either as a result of their
oversimplification or because of restrictions of the methods
themselves. Over the past 10 years, with the development of
computers, artificial intelligence, and bionic optimization
algorithms, some new optimization algorithms have
developed rapidly and attracted attentions. These include
Tabu Search, simulated annealing algorithms, artificial neural
networks [21], genetic algorithms, immune algorithms, ant
colony optimization algorithms[22], particle swarm
optimization algorithms[23] and multi-agent methods[24].
But most researches are still at an early stage, and there are
many issues for further study. One key issue is how to
balance the convergence speed and optimization quality of
these algorithms. It is a direction to research effective and
practical optimization methods combined with traditional
methods, modern intelligent optimization algorithms, parallel
processing technology and dispatching knowledge and
experiences.
8) Use new computer and communications technologies to
make progress in dispatching automation and integration
technology. New EMS software must make a qualitative leap
in architecture, performance and functions through the
development of components, object-oriented technology,
middleware and multi-agents. And the proposed EMS
software should be better in openness, reliability and
flexibility. Related technologies include distributed object
computing technology, commercial database technology,
database and communications middleware technology,
object-oriented technology, web technology based on
Internet/Intranets, CORBA, object-oriented databases, UML,
XML, network security technologies, cross-platform
technologies and so on. Modular PASs and EMSs can be
developed using these advanced technologies, and further can
be conveniently combined, added or removed.
9) Performe on different states in history, current and
future prediction and training (as for traditional EMSs) to
allow users to analyze different network models and
operating modes.
 DRPT2008 6-9 April 2008 Nanjing China
V. OBJECTIVES OF NEW EMS DESIGN
Considering the factors discussed previously, objectives
used for designing a new EMS for DGS have been identified:
1) To conform with a series of IEC 61970 CIM/CIS
standards, in order to achieve standardization of interfaces,
high openness and expansion of the software;
2) To develop the softwares which are component,
plug-and-play, and can be supported by the EMS used now;
3) To realize alterable configuration and visual modeling
design;
4) To implement data acquisition and control function of
each subsystems;
5) To support the development of various advanced
application softwares about the power system;
6) To offer universal services: historical database,
real-time database, alarms, communication, database
interfaces, maintenance, uniform system management,
graphics exploiter, web services, and so on;
VI. CONCLUSION
Many opportunities and challenges are introduced by the
increasing variety and scale of distributed energy systems,
the integration and control of microgrids, which will play an
important role during electric utility deregulation and restructuring
effort. These have led to many researches in renewable energy
applications and distributed energy systems recently. It is
required to be reconsidered on system modeling, database
design, operation control, dispatching decision of energy
management system, due to characteristics of distributed
generation systems presented above.
A new generation of EMS should conform with the IEC
61970 standard. It must be studied differences between DGS
and conventional energy systems, their impacts on power
systems, related control methods, and optimize control
methods and dispatch strategies for microgrids, The New
EMS and advanced applications should fully inherit existing
achievements and extensively use advanced computing
technologies.
Combined hardware platform with software, it is expected
to establish synthetic microgrid test-platform containing
photovoltaic energy subsystem, wind energy subsystem, fuel
cells generating subsystem, microturbine generating
subsystem, conventional generating units, batteries and
ultracapacitors. It can be used to carry out experimental
verification and simulation research of distributed generation
system, develop power advanced applications and analysis
software.
VII. REFERENCES
[1] Liang Cai-hao, Duan Xian-zhong, “Distributed generation and its
impact on power system”, Automation of Electric Power Systems, vol. 25, no.
12, pp. 53-56, June 2001.
[2] Wang Jian, Li Xing-yuan, Qiu Xiao-yan, “Power system research on
distributed generation penetration”, Automation of Electric Power Systems,
vol. 29, no. 24, pp. 90-97, Dec. 2005.
[3] Huang Qi, Chen Zhi-gang, Huang Ke, Qin Kai-yu, “Distributed power
generation and integrating technology”, Thermal Power Generation, vol. 34,
no. 10, pp. 7-12, Oct. 2005.
[4] R. Lasseter, PSERC Background Paper “Distributed generation”, Sep.
2003.
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[5] R. Lasseter, “The role of distributed energy resources in future electric
power systems”, Energy Systems Seminar, Mar. 2006.
[6] R. Lasseter, A. Akhil, C. Marnay, J. Stephens, J. Dagle, R.
Guttromson, A. S. Meliopoulous, R. Yinger and J. Eto, “Integration of
distributed energy resources: the CERTS MicroGrid concept”, CERTS,
2002.
[7] R. H. Lasseter, “MicroGrids”, IEEE PES, 2002.
[8] R. H. Lasseter and P. Piagi, “MicroGrid: a conceptual solution”,
PESC 2004.
[9] J. D. Kueck, R. H. Staunton, S. D. Labinov and B. J. Kirby,
“MicroGrid energy management system”, CERTS, 2003.
[10] Paolo Piagi and Robert H. Lasseter, “Autonomous control of
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[12] Wang Shi-zheng, Dispatching Automation System and Distribution
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[13] Tim Meyer, Fernando Isorna, Dirk Uwe Sauer and Jochen Benz,
“Integrated design approach for PV hybrid systems”, 3rd World Conference
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[14] M. Begović, A. Pregelj, A. Rohatgi and D. Novosel, “Impact of
renewable distributed generation on power systems”, Proceedings of the
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[15] Ward Jewell, Phanikrishna Gomatom, Lokendra Bam, and Rudra
Kharel, “Evaluation of Distributed Electric Energy Storage and Generation
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[16] Paolo Piagi , Robert H. Lasseter., “Control and Design of Microgrid
Components Final Project Report”, PSERC Publication 06-03, Jan. 2006.
[17] White Paper for OPEN2000E
[18] Hatziargyriou, N.D.; Dimeas, A.; Tsikalakis, A.G.; Pecas Lopes, J.A.;
Kariniotakis, G.; Oyarzabal, J., “Management of Microgrids in Market
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Nov. 16-18. 2005, pp. 1-7.
[19] Chen Hao-yong, Wang Xi-fan, “A survey of optimization-based
methods for unit commitment”, Automation of Electric Power Systems, vol.
23, no. 4, pp. 51-56, Feb. 1999.
[20] Chen Hao-yong, Wang Xi-fan, “A survey of optimization-based
methods for unit commitment”, Automation of Electric Power Systems, vol.
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[21] Walsh M. P. and O’Malley M. J.，, “Augmented Hopfield network
for unit commitment and economic dispatch”, IEEE Trans. on Power
Systems, vol. 12, no. 4, pp. 1765-1774, 1997.
[22] Dorigo M, Maniezzo V and Colorni A, “Ant system optimization by a
colony of cooperating agents”, IEEE Trans. on System, Man and
Cybernetics-Part B, Cybernetics, vol. 26, no. 1, 1996.
[23] Kennedy J, Eberhart R, “Particle swarm optimization”, Proceedings of
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[24] Nagata T, Ohono M, Kubokawa J, “A multi-agent approach to unit
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[25] IEEE Std 1547-2003. IEEE Standard for Interconnecting Distributed
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VIII. BIOGRAPHIES
Yingyuan Zhang received the B.Sc. degree in
electrical engineering and its automation from Hefei
University of technology in 2005. She is currently
pursuing the Ph.D. degree and her research interest is
distributed power generation.
Meiqin Mao received the B.Sc., M. Sc. and Ph.D.
degree in electrical engineering from Hefei
University of technology in 1983, 1988 and 2004
respectively. She is now a Professor with School of
Electrical and Automation Engineering, Hefei
University of Technology (HFUT) China. She has
published over 30 papers in national journals. And
 DRPT2008 6-9 April 2008 Nanjing China

her research interests include renewable energy techniques, distributed

power generation, power electronics and electric motors.

Ming Ding was born in 1956. He received his B.Sc.

and M. Sc. from Hefei University of technology and
Xi’an Jiaotong University in 1981 and 1984
respectively. He is now a Professor and the Dean of
School of Electrical Engineering and Automation,
Hefei University of Technology (HFUT), China，
Senior member of Chinese Society for Electrical
Engineering (CSEE), member of reliability
committee of CSEE, member of reliability
management committee of China Electric Power
Industry, Director of Electric Power Research Institute of HFUT, and
director of Photovoltaic System Research Center of Education Ministry,
China. He is the author of more than 100 technical papers. His research
interests include power system reliability, planning, power market, FACTS,
renewable energy techniques and distributed power generation

Liuchen Chang (S’87---M’92---SM’99) received the

B.Sc. degree from Northern Jiaotong University,
Beijing, China, in 1982, the M.Sc. degree from the
China Academy of Railway Sciences, Beijing,
China, in 1984, and the Ph.D. degree from Queen’s
University, Kingston, ON, Canada, in 1991.
Currently, he is a Professor of electrical and
computer engineering and NSERC Chair in
Environmental Design Engineering at the
University of New Brunswick, Fredericton, NB,
Canada. He has published over 80 papers in
technical journals and conference proceedings and two books. His principal
research interests and experience include distributed power generation,
renewable energy, analysis and design of electrical machines, variable speed
drives, finite-element electromagnetic analysis and design, power electronics,
and electric-vehicle traction systems.

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