Coordinated microgrid investment and planning process considering the system operator

Nowadays, a significant number of distribution systems are facing problems to accommodate more photovoltaic (PV) capacity, namely due to the overvoltages during the daylight periods. This has an impact on the private investments in distributed energy resources (DER), since it occurs exactly when the PV prices are becoming attractive, and the opportunity to an energy transition based on solar technologies is being wasted. In particular, this limitation of the networks is a barrier for larger consumers, such as commercial and public buildings, aiming at investing in PV capacity and start operating as microgrids connected to the MV network. To address this challenge, this paper presents a coordinated approach to the microgrid investment and planning problem, where the system operator and the microgrid owner collaborate to improve the voltage control capabilities of the distribution network, increasing the PV potential. The results prove that this collaboration has the benefit of increasing the value of the microgrid investments while improving the quality of service of the system and it should be considered in the future regulatory framework.