Load shifting of a supplier based demand response of multi-class subscribers in smart grid

Abstract

This paper presents a load shifting mechanism to address the problem of the overloaded electricity consumption requirement of different classes of electricity users, namely, the residential, commercial and industrial users, provided by a supplier in a smart grid. A real-time pricing model based the utility of each user group and the supply cost is given and an alternating direction method of multipliers is used to solve the model for obtaining the optimal real-time electricity price and consumption of each user group. A demand response (DR) algorithm-based different user groups, gives a priority load shifting rule to allocate the surplus optimal or reserved electricity consumption requirements of some user groups to other suppliers to keep the requirements within the capacity of the supplier. Numerical experiment is conducted to analyse the performance of the DR algorithm, which shows that the consumption requirement load shifting mechanism is reasonable and feasible.