Abstract:In view of the distribution network scheduling and control problems caused by a large number of distributed generation access to the power grid, and the increasingly serious peak valley difference problem of the power grid, demand response has become a necessary means of power grid regulation. Through virtual power plant technology, load aggregators aggregate distributed resources such as cogeneration, photovoltaic, distributed energy storage and interruptible load to tap the demand response value of controllable load and energy storage, and realize the source-network-load coordination and optimization mechanism of regional distribution network. A bi-level optimization model of virtual power plant is established firstly. The upper level takes the maximum profit of load aggregator as the optimal objective, the self restriction of distributed resources as the constraint condition, the lower level takes the maximum profit of energy storage and interruptible load as the optimal objective, the self restriction of energy storage and interruptible load as the constraint condition, and uses CPLEX solver.Then, the benefit of load aggregators, energy storage devices and users is analyzed in three forms:pure price-based demand response,individual participation in incentive-based demand response, and VPP participation in incentive-based demand response. Finally,through the benefit analysis of the calculation results, it is proved that participating in the incentive demand response in the form of virtual power plant in this application scenario can improve the economic benefits of load aggregators and energy storage devices.