Demand Response for Energy Management in Smart Grid

Abstract

Demand response provides an opportunity for consumers to play a significant role in the operation of the electric grid by reducing or shifting their electricity usage during peak periods in response to time-based rates or other forms of financial incentives. Methods of engaging customers in demand response efforts include offering time-based rates such as time-of-use pricing, critical peak pricing, variable peak pricing, real time pricing, and critical peak rebates. It also includes direct load control programs which provide the ability for power companies to air conditioners and water heaters on and off during periods of peak demand in exchange for a financial incentive and lower electric bills. Demand response is often associated with the short-term changes targeted for the critical hours during a day/year when the demand is high or when the reserve margin is low, whereas the long-term changes in the electricity consumption achieved through investments in energy efficiency or changes in customer behavior are often referred to as Demand Side Management which is an effort realized by the demand side only to improve energy efficiency. In this project we will implement the Priority based demand response system for the residential loads. It will be a general system in which a prototype for single house is made. The number of appliances will be taken from the user and priority to each appliance will be given depending upon the user’s comfort level. This program will check each appliance in the order from the lowest priority to the highest priority. The load needed to be shifted will be calculated and depending upon that the load will be shifted from the peak to off peak time. The user will be given the control of the appliances using mobile application.