Benders Decomposition for TSO-DSO Coordination in Local Ancillary Services Market

Congestion management is a service that can be provided through Ancillary Service (AS) Markets. Different market models have been defined in the literature. In this paper, a Local Market model is considered for coordinating the Transmission System Operator (TSO) with the Distribution System Operators (DSOs) in using AS flexible resources. The Benders decomposition method is applied since it ensures decentralization features and hierarchical priority in procuring resources from DSOs and allows to avoid approximations related to the aggregation of resources resulting from using other methods. The proposed methodology has been compared with other methods on a test case including one transmission grid and two distribution networks.