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This paper proposes a new approach to distribution system named Three-wire Network (3-NET). Considering the integration of different distributed generation (DG) technologies as well as the diversity of loads, the idea of 3-NET is splitting a single power network into three qualitatively different networks: (i) a high quality direct current (DC) network; (ii) a conventional alternating current (AC) network; and (iii) a low quality DC network. By this configuration, the multi-stage conversion of energy from DG sources can be reduced, whereas loads can be supplied with different power quality and reliability levels as desired. In order to evaluate the potential benefits of 3-NET, the operational strategy is formulated in a market model; the reliability performance is investigated using Monte Carlo simulation and quantified in terms of interruption costs. In the case study, the proposed 3-NET is considered for integrating a certain amount of DG into a specific distribution system and then compared with another system approach: hybrid AC-DC microgrid. The simulation shows that although the operation costs can be slightly higher, the 3-NET shows a great improvement in reliability performance in comparison with the hybrid microgrid. Copyright © 2013 John Wiley & Sons, Ltd. [ABSTRACT FROM AUTHOR]

SUMMARY This paper proposes a new approach to distribution system named Three-wire Network (3-NET). Considering the integration of different distributed generation (DG) technologies as well as the diversity of loads, the idea of 3-NET is splitting a single power network into three qualitatively different networks: (i) a high quality direct current (DC) network; (ii) a conventional alternating current (AC) network; and (iii) a low quality DC network. By this configuration, the multi-stage conversion of energy from DG sources can be reduced, whereas loads can be supplied with different power quality and reliability levels as desired. In order to evaluate the potential benefits of 3-NET, the operational strategy is formulated in a market model; the reliability performance is investigated using Monte Carlo simulation and quantified in terms of interruption costs. In the case study, the proposed 3-NET is considered for integrating a certain amount of DG into a specific distribution system and then compared with another system approach: hybrid AC-DC microgrid. The simulation shows that although the operation costs can be slightly higher, the 3-NET shows a great improvement in reliability performance in comparison with the hybrid microgrid. Copyright © 2013 John Wiley & Sons, Ltd. [ABSTRACT FROM AUTHOR]