Incentive-Based Integrated Demand Response Considering S&C Effect in Demand Side With Incomplete Information

Abstract

Incentive-based integrated demand response (IDR) has been recognized as a powerful tool to mitigate supply-demand imbalance in integrated energy systems with high penetration of distributed renewable energy sources (RESs). However, incomplete information as well as demand-side substitute and complementary effect (S&C effect)—the change in demand for a type of energy carrier as a result of a change in the relative incentive rates of other kind of energy carriers—have been central challenges to estimate accurately the response behavior of consumers. This paper proposed an improved incentive-based IDR model to effectively cope with the S&C effect and incomplete information. Besides, both output uncertainty of RESs and responsiveness uncertainty of consumers are taken into account, with an improved model of energy storage unit to deal with balancing power deviation and measure corresponding risk costs caused by the uncertainties. The proposed IDR model is formulated as a bi-level stochastic programming problem, which is converted equivalently into a nonlinear convex optimization problem to solve it efficiently. Simulation results validate the effectiveness of the proposed method to cope with the S&C effect and incomplete information, verifying merits of the model in reducing both comfort loss of consumers and the total cost/risk cost of multi-energy aggregator (MEA), decreasing balancing power deviation, enhancing MEA’s ability of risk management, and promoting calculation efficiency.