  Generation portfolio can be significantly altered due to the deployment of
distributed energy resources (DER) in distribution networks and the concept of
microgrid. Generally, distribution networks can operate in a more resilient and
economic fashion through proper coordination of DER. However, due to the
partially uncontrollable and stochastic nature of some DER, the variance of net
load of distribution systems increases, which raises the operational cost and
complicates operation for transmission companies. This motivates peak shaving
and valley filling using energy storage units deployed in distribution systems.
This paper aims at theoretical formulation of optimal load variance
minimization, where the infinity norm of net load is minimized. Then, the
problem is reformulated equivalently as a linear program. A case study is
performed with capacity-limited battery energy storage model and the simplified
power flow model of a radial distribution network. The influence of capacity
limit and deployment location are studied.
