Effect of Battery Degradation on Dynamic Pricing for V2G and Optimal Procurement of Energy and Ancillary Services in Active Distribution System

In this paper, there are two main contributions. The first one is to propose a new dynamic pricing model for Vehicle-to-Grid by considering the battery's life degradation cost, which minimizes the actual monetary loss of EV owners for discharging power to the grid with different SOC values. Secondly, a two-stage optimization problem is suggested for procuring Energy and Ancillary services from Distributed Generations (DGs) and Demand Response (DR) in an active distribution system. In other words, the proposed problem formulation is solved at two stages, i.e., in individual hours as well as in combined 24 hours of a particular day by using Binary Particle Swarm Optimization. Finally, to investigate the effectiveness of the proposed methodologies, an IEEE 33-bus distribution test system is used to obtain the results and compare the existing literature work.