Generation scheduling in industrial microgrids (IMGs) is an important issue which has not received much attention in the literature. IMGs consist of many factories with distributed energy resources (DERs) and electric loads that heavily rely on combined heat and power (CHP) systems. This thesis illustrates that UC in an IMG is not solely a profit based UC (PBUC) or a security constrained UC (SCUC) problem. Therefore, a new profit based security constrained UC (PB-SCUC) formulation is proposed for IMGs that includes both microgrid security and factories constraints while utilizing the generators waste heat to fulfill thermal requirements. The microgrid controller (MGC) will solve the PB-SCUC problem to minimize the final production cost through maximization of the profit by selling electricity to the upstream network. As each DER and boiler may have an individual owner, an approach based on the game theory is also implemented to fairly allocate the cost saving among factories participating in the generation process. The new generations of IMGs are expected to also include renewable DERs and plug-in electric vehicles (PEVs) with different power ratings and charging characteristics. This thesis also proposes a profit based security constrained unit commitment (PB-SCUC) formulation for IMGs with PEV charging and renewable DERs that includes microgrid security and factories constraints as well as the PEV charging requirements. Also in this thesis a method based on dynamic optimal power flow (DOPF) over a 24-hour period presented which includes security-constrained optimal power flow (SCOPF), IMG’s factories constraints, PV storage constraints and PEVs dynamic charging constraints. Finally a novel approach for stochastic generation scheduling in an IMG is presented. This method is based on scenario-based method and linearization of the nonlinear formulations. To demonstrate the effectiveness of proposed methods, detailed simulation results are presented and analyzed for an IMG consisting of 12 factories and 6 types of PEVs without/with photovoltaic generations (PVGs) operating in grid-connected and stand-alone modes. Key Words Industrial microgrid, unit commitment, allocation of cost saving, combined heat and power, optimal power flow, stochastic programming
