A stochastic approach to dynamic participation in energy communities

Abstract With energy communities and local electricity markets on the rise, possibilities for prosumers to be actively involved in system increase, creating more complex settings communities. This paper addresses following research question: Does having knowledge about future development help make better decisions selecting new participants than without consideration of any developments? Each year, community is faced with exit existing members a portfolio possible entrants different characteristics. For this purpose, bi-level optimization model dynamic participation peer-to-peer trading, which able select most suitable based preferences original community, extended stochastic program. The wants plan few years ahead, includes uncertainties: (i) leave after each period, (ii) are potential willing join community. paper’s contribution approach evaluate developments scenarios. focus lies contractual design between entrants; calculates duration contracts endogenously. results show sample community’s decision-making process over horizon several years, comparing simple deterministic alternative solution.