A Novel Model of Emergency Demand Response Program for Optimal Aggregators’ Strategy

Abstract

Demand response (DR) programs have been used for a variety of purposes. In this study, Emergency Demand Response Program (EDRP), as an incentive-based program, is used for peak clipping, managing the volatility and the increase of the electricity prices, monetizing consumers’ involuntary electricity outage and controlling the price in the day-ahead market. A market-driven model in the form of a combination of Diamond’s over-lapping generations (OLG) and Price Elasticity (PE) formulations is proposed for the aggregates (AGGs) by which they can manage their consumers’ demand at the peak hours and maximize the profit. Furthermore, maximizing the profit of the AGGs was performed by determining the optimal amount of demand while three technical constraints such as demand ceiling, relative risk aversion and incentive limits were also included in the proposed model. The profit function of the AGGs is considered in the form of the difference between the revenue and the cost. The problem is solved with taking into consideration the different rate of time preference and PE over a 24-hour period. The simulation results showed a successful performance of the proposed model from the considered economical and technical viewpoints.

Keywords:

• emergency demand response program
• diamond’s OLG model
• price elasticity matrix
• aggregator
• co-evolutionary improved teaching learning-based optimization

Additional information

Notes on contributors

Seyyed Ebrahim Hosseini

Seyyed Ebrahim Hosseini received the B.Sc., M.Sc. and Ph.D. degrees in electrical engineering from Islamic Azad University, Bushehr, in 2009, 2013 and 2021, respectively. He is a Senior Engineer with Fajr Jam Gas Refinery Company (FJGRC), Bushehr, where he specializes in the operation and management of electricity generation from gas power plants. His research interests include smart grids, demand side management, demand response, power systems operation, planning and optimization, energy efficiency, and distributed generations.

Mojtaba Najafi

Mojtaba Najafi received the B.S. (Hon.) degree in electrical engineering from Amirkabir University of technology, Tehran, Iran, in 2004, M.Sc. (Hon.) degree in electrical engineering from Iran University of science and Technology, Tehran, Iran, in 2006 and Ph.D. (Hon.) degree in electrical engineering from Islamic Azad University, Science and Research Branch, Tehran, Iran, in 2010. He is currently a faculty member in Islamic Azad University, Bushehr, Iran. His research interests include electric power components and systems.

Ali Akhavein

Ali Akhavein received the B.S. degree (Hons.) from the Iran University of Science and Technology, Tehran, Iran, in 1996, the M.Sc. degree (Hons.) from Tarbiat Modarres University, Tehran, in 1999, and the Ph.D. degree in the field of electrical power engineering from Islamic Azad University, Science and Research Campus, Tehran, in 2011. He is currently a Faculty Member with Islamic Azad University, South Tehran Branch, Iran. His research interests include power system reliability analysis and application of optimization methods to power system operation.