I have a centralized optimization problem for a residential area in the context of a smart grid and load flexibility. So let's say I have 10 buildings and each of them has an electric heating device. Further each building has a photovoltaic PV system that generates renewable energy. Now the goal of the centralized optimization problem is to schedule the heating activities of all buildings such that the overall usage of the total reneable energy (sum of all the PV generation of all buildings) is maximized.
Basically every building has 24 decision variables (one for each hour): x_1, ..., x_24 The quantiy the (continious) power consumption of the electric heating device in each hour. Of course we also have some thermal constraints for the room temperature such that it is not possible to heat with full power during all hours. Moreover, each building has a PV generation that is given exogeneously meaning that this is a parameter: PV_1, ..., PV_24
So the goal of the centralized optimizer is to choose x_1, ..., x_24 for all 10 buildings such that the PV self consumption rate, is maximized. The total electrical power P_total for the residential area for one timeslot is just the sum of the x_1s, ..., x_24s for all buildings. The same is valid for the total PV generation PV_total of the residential area. Now we want to minimize the sum of PV_total - P_total over all 24 hours of the day (this maximizes the self-consumption rate of PV).
I hope you have understood the basics of this problem (if not I can give you more information). My fundamental question now is, whether I can use one of the following decomposition methods to transform this centralized large optimization problem into distributed smaller problems that could be solved by the buildings themselves. Basically I would like to know if I can use one of these methods:
ADMM: Alternating methods of multipliers
I'd appreciate every comment.
Update: Here is the complete optimization problem
x_t_b and y_t_b are the decision variables for all timeslots t and all buildings b. The objective is to minimize the surplus power in the residential area. The surplus power is calculated by subtracting the total electrical deamand of the area from the total PV geneartion. But only the positive surplus power should be minimized. I use the Big-M approach to incorporate this into the model with the two big M parameters and an auxillary binary variable h^positive. I have two thermal storage systems (modelled by T^UFH and V^DHWuse) which have upper and lower limits. x_t_b is the decision variable for heating up the T^UFH_b and y_t_b the decision variables for heating up the V^DHWuse_b. Only on of them can be heated up at one time slot. To model this I use a binary auxilliary variable h^Aux for each building and each time slot. The total demand P^total comprises the electrical demand of the heat pumps and the inflexible demand P^Demand that is a parameter.