Optimal demand response scheme for power systems including renewable energy resources considering system reliability and air pollution

Abstract

Implementing an applicable demand response (DR) program enables the complete demand-side potentials and ensures a secure, more economic and greener operation of the power systems with the integration of renewable energy. Therefore, the present paper proposes a stochastic security-constraint scheduling approach for optimum operation of both supply and demand sides via well-designed pricing and incentive schemes. The DR programs are time-of-use and emergency DR programs. The study addresses the Independent System Operator (ISO)'s viewpoint, and it aims at finding the optimal DR strategy (from a set of DR programs) in a way that an efficient electricity market is obtained, ensuring the security and environmental constraints. To this end, a security constraint unit commitment (SCUC) problem considering DR and renewable energy resources is proposed. Different indices are considered through a multi-objective problem for evaluating the efficiency of the market, security of the system, reliability and air pollution. These indices include market prices, social welfare, load factor (peak-to-valley proportion), air pollution, and power security, among others. In order to find the best DR strategy, a multi-objective problem is solved to consider all the mentioned indices.