Coordination of community electricity markets and distribution network operation

Community electricity markets are dedicated markets in which small electricity prosumers can directly trade electricity among themselves. The interest in such markets is growing in recent years as indicated by the increasing number of research studies, pilot projects and commercial implementations of community markets. The large-scale deployment of community markets may contribute to problems in the distribution grid, in combination with the increased electrification of the energy demand. Therefore, a coordinated approach with the DSO's operational activities is preferred in order to avoid network problems. This paper proposes a method for such coordination that is straightforward, effective and considers the electricity deregulation. The results of the case study demonstrate how flexibility from prosumers can be utilized by the DSO to solve network problems. The coordinated approach has a small negative effect on the community market which can be overcome with adequate remuneration policy.