China Three Gorges University’s Game-Changing Strategy Balances Green Energy & Profits

In the rapidly evolving energy sector, a groundbreaking study led by Hui Wang from China Three Gorges University is set to reshape how regional integrated energy systems operate, balancing economic viability and environmental sustainability. Published in the Chinese journal *Electric Power* (Zhongguo dianli), Wang’s research introduces a novel low-carbon operation strategy that addresses the complex interplay of interests among multiple stakeholders in integrated energy systems.

The study tackles critical issues such as high investment costs, uneven capacity utilization, and significant carbon emissions associated with user-side distributed energy storage. Wang and his team proposed a three-level game model involving cloud energy storage service providers, integrated energy system operators (IESO), and load aggregators (LA). This multi-layered approach aims to optimize energy trading and storage leasing, ensuring that all parties involved maximize their profits while contributing to a low-carbon future.

“Our model not only promotes the system’s low-carbon operation but also satisfies the economic needs of all stakeholders,” Wang explained. The framework establishes an energy trading framework between the IESO and LA for leasing cloud energy storage, creating a cooperative environment where each entity can thrive. The three-layer game model includes a principal-agent game between the IESO and LA alliance, a master-slave game between the cloud energy storage service provider and IESO, and a cooperative game among LA alliance members. Revenue is distributed using the asymmetric Nash bargaining method, ensuring fairness and efficiency.

The research employs advanced mathematical techniques, including the bisection method, KKT conditions, and the alternating direction multiplier method (ADMM), to solve the complex model. Simulation results demonstrate that the proposed strategy effectively reduces carbon emissions while meeting the economic demands of all stakeholders.

This innovative approach has significant implications for the energy sector, particularly in regions striving to balance economic growth with environmental sustainability. By optimizing the use of distributed energy storage and fostering cooperation among stakeholders, the model could pave the way for more efficient and low-carbon energy systems. As the world transitions towards renewable energy sources, such strategies will be crucial in ensuring a sustainable and economically viable energy future.

Wang’s research highlights the potential of multi-agent game models in addressing the challenges of integrated energy systems. As the energy sector continues to evolve, these models could become a cornerstone of energy management strategies, driving innovation and sustainability. The study’s findings were published in *Electric Power* (Zhongguo dianli), a leading journal in the field of electrical engineering and energy systems.

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