The impact of distribution locational marginal prices on distributed energy resources: an aggregated approach

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With the growth in Distributed Energy Resources (DERs) and the trend towards electrification of heat and transport, distribution networks will be increasingly challenged and will need to be more actively managed. Distribution Locational Marginal Prices (DLMPs) offer a method of clearing markets at distribution level and providing information on transmission losses and congestion in a network due to transmission constraints. This paper examines the application of DLMPs to a region of the South West of England. The resulting DER penetration from applying DLMPs to different voltage levels was considered. It was found that by applying DLMPs down to 11 kV, distributed generation capacity and output could be increased significantly. Applying DLMPs down to 11 kV had a less pronounced effect on flexible demand dispatch due to the coincidence of renewable curtailment and the lowest daily system prices.
Original languageEnglish
Title of host publication15th International Conference on the European Energy Market
Place of PublicationPiscataway, NJ
Number of pages5
ISBN (Print)9781538614884
Publication statusPublished - 24 Sep 2018
Event15th International Conference on the European Energy Market - Łódź, Poland
Duration: 27 Jun 201829 Jun 2018


Conference15th International Conference on the European Energy Market
Abbreviated titleEEM 18
Internet address



  • distribution networks
  • locational marginal pricing
  • DER
  • optimal power flow

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