Load shifting demand response in energy scheduling based on payment cost minimization auction mechanism

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Jafarirad H.; RASHIDINEJAD M.; ABDOLLAHI A.

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Journal Paper

Paper Information

Journal: Scientia Iranica Year:2022 | Volume:29 | Issue:5 (Transactions D: Computer Science and Engineering and Electrical Engineering) Page(s): 2450-2464

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Information Journal Paper

Title

Load shifting demand response in energy scheduling based on payment cost minimization auction mechanism

Author(s)

Jafarirad H. | RASHIDINEJAD M. | ABDOLLAHI A. | Issue Writer Certificate

Keywords

payment cost minimization

load shifting demand response

social welfare maximization

offer cost minimization

marginal pricing scheme

bi-level programing

Abstract

Demand response (DR) is proven to be very efficacious for load mitigation especially in peak time period. On the other hand, DR facilitates both consumers, system operator as well as producers to moderate their payments while reducing system operating costs. offer cost minimization is currently used as the clearing mechanism associated with locational marginal pricing scheme to determine the consumers’,payments. Such clearing and pricing mechanisms are inconsistent as the system costs is being minimized, while the payments are calculated based upon marginal prices. payment cost minimization auction as a price-based clearing mechanism is envisaged to be an effective alternative to solve such a crucial issue. This paper shows how to include DR in PCM mechanism to further reduce the consumers’,payment. It facilitates utilizing price responsive consumers for load shifting DR in a PCM auction. The optimization problem is modeled as a mixed-integer nonlinear bi-level programming. Duality theorem, KKT conditions and integer algebra are used to convert such a complicated optimization problem to a single level MILP problem. This problem is then solved by CPLEX in GAMS. The impacts are studied by implementing the proposed formulation to solve the clearing problem in the case studies deriving promising numerical results.

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APA: Copy

Jafarirad, H., RASHIDINEJAD, M., & ABDOLLAHI, A.. (2022). Load shifting demand response in energy scheduling based on payment cost minimization auction mechanism. SCIENTIA IRANICA, 29(5 (Transactions D: Computer Science and Engineering and Electrical Engineering)), 2450-2464. SID. https://sid.ir/paper/1051846/en

Vancouver: Copy

Jafarirad H., RASHIDINEJAD M., ABDOLLAHI A.. Load shifting demand response in energy scheduling based on payment cost minimization auction mechanism. SCIENTIA IRANICA[Internet]. 2022;29(5 (Transactions D: Computer Science and Engineering and Electrical Engineering)):2450-2464. Available from: https://sid.ir/paper/1051846/en

IEEE: Copy

H. Jafarirad, M. RASHIDINEJAD, and A. ABDOLLAHI, “Load shifting demand response in energy scheduling based on payment cost minimization auction mechanism,” SCIENTIA IRANICA, vol. 29, no. 5 (Transactions D: Computer Science and Engineering and Electrical Engineering), pp. 2450–2464, 2022, [Online]. Available: https://sid.ir/paper/1051846/en

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