Enhancing Energy Efficiency in Retail within Smart Cities through Demand-Side Management Models

Abstract

The energy discourse is multifaceted, encompassing energy creation, storage, and conservation. Beyond the imperative of conserving energy consumption, effective energy management is a critical aspect of achieving overall energy efficiency. Despite being traditionally regarded as low electricity consumers, retailers play a pivotal role in economic activity. While categorized as non-productive energy users, the retail industry operates numerous establishments, facing substantial energy costs that make energy management integral to its operations. Historically, smaller retail stores have lacked awareness of energy saving. However, by connecting these stores, even modest reductions in individual electricity consumption can yield significant overall energy savings. This study aims to investigate the feasibility of implementing the demand-side management (DSM) aggregator model in the retail industry. Through surveys on awareness of energy saving and the application of deep learning techniques to analyze the effectiveness of the Aggregator model, the results reveal that the mean squared prediction error (MSPE) of this research is below 2.05%. This indicates substantial accuracy and offers meaningful reference value for Energy Service Company (ESCO) providers. The findings contribute practical recommendations for the sustainable and competitive implementation of DSM energy management practices in smart cities.