Real-time Pricing Research Articles

Differentiated Real-time Pricing Strategy for Maximizing Social Welfare Based on Blockchain Technology

Differentiated Real-time Pricing Strategy for Maximizing Social Welfare Based on Blockchain Technology

The Role of AI in Personalizing Insurance Policies

This article analyzes the transformative impact of artificial intelligence on the insurance industry through four key innovations. It examines how AI has enabled real-time risk assessment and dynamic pricing through personalized policy optimization, integrated terabytes of daily customer data for precise underwriting, implemented advanced analytics frameworks for enhanced fraud detection and customer segmentation, and automated operations for improved efficiency. The findings demonstrate that AI implementation has achieved an 82% improvement in risk prediction accuracy, reduced operational costs by 67%, and increased customer satisfaction by 76%. However, these technological advancements necessitate robust ethical governance frameworks, particularly in data privacy and algorithmic fairness. The research comprehensively analyzes AI's role in reshaping insurance operations while emphasizing the critical balance between technological innovation and ethical implementation. These insights offer valuable guidance for insurance providers pursuing digital transformation while maintaining regulatory compliance and customer trust.

Optimization and energy management strategies, challenges, advances, and prospects in electric vehicles and their charging infrastructures: A comprehensive review

Electric vehicles (EVs) are at the forefront of global efforts to reduce greenhouse gas emissions and transition to sustainable energy systems. This review comprehensively examines the optimization and energy management strategies for EVs and their charging infrastructure, focusing on technological advancements, persistent challenges, and future prospects. By the end of 2023, the number of electric cars on the road globally reached 40 million, with 14 million new registrations recorded in 2023 alone—95% of which were in China, Europe, and the United States. Governments across the globe have introduced incentives and policies to promote EV adoption, and by 2030, EVs are expected to comprise a significant portion of light-duty vehicles in major regions. Despite these encouraging developments, challenges such as range anxiety, the relatively low energy density of 200–300 Wh/kg in Li-ion batteries (compared to 13,000 Wh/kg for petroleum), and insufficient public charging infrastructure remain key barriers to widespread EV adoption. This review also explores the critical role of smart grid technologies, vehicle-to-grid (V2G) systems, and renewable energy integration in supporting the growing EV market. V2G technologies are projected to enhance grid stability by 20–30% and reduce operational costs by 10–15% through load balancing and real-time energy price forecasting. By thoroughly analyzing optimization techniques such as load balancing, dynamic scheduling, and real-time energy management, this paper offers a roadmap for researchers, policymakers, and industry stakeholders to accelerate the integration of EVs into global energy systems and enhance sustainability in urban transportation networks.

Optimal power dispatch in microgrids using mixed-integer linear programming

Abstract As greenhouse gases emissions continue to rise, society is actively seeking methods to reduce them. Microgrids (MGs), which predominantly consist of renewable energy sources, play a significant role in achieving this objective. This paper proposes an optimized methodology for power dispatch in MGs using mixed-integer linear programming (MILP). The MGs include photovoltaic systems, wind turbines, biogas (BG) generators, battery energy storage systems (BESS), electric vehicles (EV), and loads. The model features an objective function focused on cost minimization, power balance, and the necessary limits and constraints for the system’s safe operation. Real-time pricing is employed for energy transactions between the MGs and the main grid. The results demonstrate a cost-efficient operation for the proposed system comprising two MGs and the main grid. During periods of negative power balance, the demand was met by discharging the BESS, EV’s battery, or purchasing energy from the grid. The BESS was charged when energy prices were low and discharged during peak demand periods and high energy prices. The intermittent nature of renewable sources necessitates an efficient management system to ensure reliable operation. Additionally, storage systems help mitigate the variability in generation. The BG generator was another crucial component for power supply due to its flexibility. Integrating these components into the system improved reliability and ensured a secure and balanced operation.

Short-Term Cryptocurrency Price Prediction Using Bi-LSTM Method with Interactive Web

Short-term Bitcoin price prediction is a crucial aspect of transaction decision-making, especially for investors. In this study, a Bidirectional Long Short-Term Memory (Bi-LSTM) model was developed for short-term Bitcoin price prediction. The Bidirectional LSTM is designed to capture temporal context in both directions, allowing the model to process information from past and future time steps simultaneously. The model was validated using real-world data, including Bitcoin stock price datasets. The results show that the model achieved high accuracy, with a Root Mean Square Error (RMSE) of 56.90 on the training data and 157.35 on the test data, along with a Mean Absolute Error (MAE) of 366.40 and 486.63, respectively. The Bidirectional Least Square Memory model accurately predicted Bitcoin prices over a specific time period. This application integrates the model into a web application, enabling users to obtain real-time Bitcoin price predictions through a user-friendly interface.

Real-Time Pricing and the Cost of Clean Power

Solar and wind power are now cheaper than fossil fuels but are intermittent. The extra supply-side variability implies growing benefits of using real-time retail pricing (RTP). We evaluate the potential gains of RTP using a model that jointly solves investment, supply, storage, and demand to obtain a chronologically detailed dynamic equilibrium for the island of Oahu, Hawai‘i. We find that, holding demand assumptions fixed, RTP reduces costs in high-renewable systems by roughly 6 to 12 times as much as in fossil systems, markedly lowering the cost of clean energy integration. (JEL G31, L94, L98, Q42, Q48)

Optimized Smart Home Energy Management System: Reducing Grid Consumption and Costs through Real-Time Pricing and Hybrid Architecture

Utility authorities utilize various methods to promote end-user energy conservation, including higher tariff rates and demand response (DR) strategies. This paper investigates an Optimized Smart Home Energy Management System (OSHEMS) designed to minimize grid dependence and energy bills while ensuring reliable load delivery. A hybrid architecture prototype was implemented, integrating a photovoltaic (PV) array, battery storage, and the electrical grid. The system combines Maximum Power Point Tracking (MPPT) solar chargers and Pure Sine Wave (PSW) inverters for efficient energy management. The Home Energy Management Whale Optimization Algorithm (HEMWOA) was employed to optimize energy usage and achieve cost reduction while enhancing user comfort. Real-time pricing (RTP) tariffs incentivizing flexible energy consumption during peak hours were incorporated. OSHEMS manages, schedules, and monitors energy sources and appliances, determining the optimal consumption mix. Experimental results demonstrate a significant decrease in grid reliance (46.6%) and energy costs (57.7%) compared to non-scheduling scenarios. These findings highlight the potential of OSHEMS in promoting sustainable and cost-effective energy consumption in smart homes.

Dynamic Price Monitoring in E-Commerce: Leveraging Web Scraping, Data Analysis, and Email Automation for Dynamic Pricing Insights

This paper focuses on the development of a web application that leverages web scraping, data storage, and email automation technologies to track real-time price changes for specific products on e-commerce platforms. Built using Next.js for the frontend, MongoDB as the database, and Nodemailer for email notifications, the system aims to provide users with a comprehensive and user-friendly interface to monitor price fluctuations. By scraping data from product pages, the application gathers key pricing metrics, including the average, lowest, highest, and current prices, and presents this information visually to help users make informed purchasing decisions. By utilizing the combination of web scraping and real-time data analysis, this project provides a dynamic solution for both consumers and businesses, offering valuable insights into price changes and trends in the competitive e-commerce landscape.

Optimal Energy Management of EVs at Workplaces and Residential Buildings Using Heuristic Graph-Search Algorithm

As the adoption of electric vehicles (EVs) continues to rise, efficient scheduling methods that minimize operational costs are critical. This paper introduces a novel EV scheduling method utilizing a heuristic graph-search algorithm for cost minimization due to its admissible nature. The approach optimizes EV charging and discharging schedules by considering real-time energy prices and battery degradation costs. The method is tested on systems with solar generation, electric loads, and EVs featuring vehicle-to-grid (V2G) connections. Various charging rates, such as standard, fast, and supercharging, along with uncertainties in EV arrival and departure times, are factored into the analysis. Results from various case studies demonstrate that the proposed method outperforms popular heuristic optimization techniques, such as particle swarm optimization and genetic algorithms, by 3–5% for different real-time energy prices. Additionally, the method’s effectiveness in reducing operational costs for workplace EVs is confirmed through extensive case studies under varying uncertain conditions. Finally, the system is implemented on a digital real-time simulator with DNP3 communication, where real-time results align closely with offline simulations, confirming the algorithm’s efficacy for real-world applications.

Demand management and pricing in renewable integrated plug-in electric vehicle charging station using reinforcement learning

ABSTRACT The increasing adaption of Plug-in Electric Vehicles (PEVs) has increased the power demand for charging. Renewable generation can significantly help to meet this demand. The uncertainty of renewable generation and randomness in PEV charging makes the demand management of charging stations challenging. To address these challenges, this study proposes a novel demand management pricing strategy for renewable integrated charging stations. The proposed strategy uses reinforcement learning for charging coordination of PEVs. The renewable generation is estimated using weather data and accordingly PEVs are scheduled for demand management. The strategy decides the PEV power price based on real-time price, renewable tariff and PEV load. The strategy uses the bidirectional power flow with battery degradation cost. The distribution transformer operating cost and loading constraints are included to resemble the real-time environment. The PEV randomness and uncertainty of renewable generations are incorporated in the study. The results of the numerical case study show that the proposed strategy can manage the charging station load efficiently. The proposed strategy has optimized the cost of charging, discharging and charging station profit and increased the service capability of the charging station.

Electricity Price and Inflation: Macroeconomic Implications of Real-Time Pricing

Electricity prices can be an important driver of inflation. However, the transmission from wholesale electricity price to inflation depends on the type of pricing mechanism in the retail market. Using the introduction of Real-Time Pricing (RTP) in the Spanish retail electricity market, we analyze the transmission of wholesale electricity price shocks to inflation dynamics and how this transmission is affected by the introduction of RTP. The main findings are that—after RTP was rolled out—electricity price shocks display a swifter transmission to inflation while the maximum impact is around three times higher than in the previous period. This higher transmission is not only generated by a more pronounced reaction of the retail electricity price but is also caused by a greater transmission of these shocks to core inflation. These results imply that introducing RTP impacts inflation dynamics and, therefore, affects how central banks should react to this type of shock. JEL Classification: E31, Q43, Q48

Research on Real-time E-commerce Price Comparison System Using Python Web Scraping Technology

This paper presents a study on the development of a real-time price comparison system for e-commerce platforms using Python-based web scraping technologies. The objective is to analyze and compare product prices across major e-commerce platforms, including Taobao, JD.com, and Amazon, by leveraging different web scraping libraries such as BeautifulSoup, Scrapy, and Selenium. The study outlines the technical challenges associated with dynamic content extraction, anti-scraping mechanisms, and the effectiveness of various scraping tools. Through experimental evaluation, we compare the scraping efficiency, success rate, and data accuracy across the three platforms. The results indicate that JD.com, with its mostly static content, offers the highest scraping efficiency when using BeautifulSoup, while Amazon, despite slower page loading, achieves a high success rate using Scrapy. Taobao, on the other hand, presents significant challenges due to its dynamic loading and strict anti-scraping measures, making Selenium the most appropriate tool, albeit with slower processing times. This research provides valuable insights into the selection of optimal web scraping techniques for real-time price comparison systems and highlights the impact of platform-specific challenges on the accuracy and efficiency of data extraction.

FNNGM: A neural-driven fractional-derivative multivariate fusion model for interpretable real-time CPI forecasts

Integrating models from diverse sources has attracted substantial interest in developing advanced time series forecasting technologies. However, current research lacks a comprehensive and deep fusion model to integrate multiple forecasting methodologies. To this end, this paper proposes a neural-driven fractional-derivative multivariate fusion model (FNNGM (p, n)) to assimilate the fractional-derivative dynamical system, the driving factor in grey multivariate models, and the neural network into a cohesive framework. Consequently, this fusion architecture can benefit from the synergy of the target system's dynamics, extensive exogenous information, and non-linear transformation. Additionally, FNNGM (p, n) fosters extra functionalities through its inherent memory layer and sequence decomposition, bolstering model interpretability with the visible memory mechanism and understandable model workflows. To showcase the utility of FNNGM (p, n), this paper conducts real-time monthly consumer price index (CPI) forecasts that span ten years (from 2013:08 to 2023:07), analyzing the interpretable results from FNNGM (p, n) and contrasting it against many prevailing benchmark models. The comparison results reveal FNNGM (p, n)’s highly concentrated error distributions and the minimum mean absolute percentage forecasting error (APFE), squared forecasting error (SFE), and absolute forecasting error (AFE) values of 0.22 %, 0.59, and 0.56, respectively. Furthermore, the ablation experiments are performed to explore the specific effects and compatibilities of the fusion components, validating the effectiveness of the proposed fusion approach.

A stackelberg game-based programming approach for industrial steam systems incorporating renewable energy considering demand response

Fossil fuels account for 37 % of industrial combustion, primarily used for steam production. Given the significant role of steam in industrial processes, industrial steam systems (ISS) offer a critical opportunity to accelerate the transition from fossil fuels to renewable energy by integrating renewable sources. Currently, ISS optimization focuses mainly on internal improvements, often neglecting stakeholder interactions and the inherent unpredictability of renewable energy sources. This paper introduces a novel bi-level programming approach based on Stackelberg game theory to address the balance between ISS and user interests. A new ISS model is proposed that integrates multiple renewable energy sources while accounting for their intermittency. Revenue models for energy servers (ES) and consumers (EC) are developed, and demand response mechanisms and real-time pricing are incorporated into the bi-level programming model. In the designed bi-level ISS (B-L-ISS) model, the upper level optimizes energy conversion equipment and pricing, while the lower level aims to minimize users' energy costs. The Karush-Kuhn-Tucker (KKT) conditions are used to reformulate the bi-level problem into a single-level programming problem with equilibrium constraints. Validation on a real coastal industrial steam system shows that the proposed method integrates renewable energy four times more effectively than traditional methods, reducing CO2 emissions by 15,790 tons annually, while balancing the interests of both the steam system and its users.

Optimal control algorithms for Gabon’s Smart Grid: Enhancing efficiency and sustainability

The adoption of smart grid technologies offers Gabon several opportunities to enhance energy efficiency and sustainability. This study investigates the use of optimum control algorithms to increase grid stability and enhance the utilization of renewable energy sources. Mathematical models and simulations are used to assess genetic algorithms in light of Gabon's unique energy situation. Systems known as electrical smart grids supply electricity to users directly from power plants in an effort to reduce costs, cut down on blackouts, and improve energy efficiency. Smart grids, or SGs, are well-known pieces of equipment because of their amazing capabilities, which include bi-directional communication, stability, power failure detection, and interconnectivity with appliances for monitoring. Many modern data and security management systems, including modeling, monitoring, optimization, and/or artificial intelligence, lead to SGs. Energy was once cheap, easily managed, and dependent only on fundamental elements. Demand has significantly increased as a result of the current circumstances, which has also increased Gabon's electricity expenses, the likelihood of a contingency, and the complexity of the electrical network. In Gabon, smart grids have shown to be the most practical and clever way to lessen these problems in recent years. An electrical network with information technology integrated is called a smart grid. According to this study, using genetic algorithms in a smart grid could lower Gabon's overall electricity prices. In order to meet demand, the proposed approach makes use of off-grid battery banks and renewable energy sources. The goal of GA optimization is the short-term time averaged power cost; factors that affect this include grid energy to satisfy load, battery discharge, and other factors. MATLAB software is used to solve the optimization problem over a 24-hour period of renewable input, real-time energy pricing, and load. The results are presented.

ADPA Optimization for Real-Time Energy Management Using Deep Learning

The current generation of renewable energy remains insufficient to meet the demands of users within the network, leading to the necessity of curtailing flexible loads and underscoring the urgent need for optimized microgrid energy management. In this study, the deep learning-based Adaptive Dynamic Programming Algorithm (ADPA) was introduced to integrate real-time pricing into the optimization of demand-side energy management for microgrids. This approach not only achieved a dynamic balance between supply and demand, along with peak shaving and valley filling, but it also enhanced the rationality of energy management strategies, thereby ensuring stable microgrid operation. Simulations of the Real-Time Electricity Price (REP) management model under demand-side response conditions validated the effectiveness and feasibility of this approach in microgrid energy management. Based on the deep neural network model, optimization of the objective function was achieved with merely 54 epochs, suggesting a highly efficient computational process. Furthermore, the integration of microgrid energy management with the REP conformed to the distributed multi-source power supply microgrid energy management and scheduling and improved the efficiency of clean energy utilization significantly, supporting the implementation of national policies aimed at the development of a sustainable power grid.

Do uncertain outcomes matter for ticket prices? Examination of the National Football League's secondary ticket market

PurposeThis study examines the impact of outcome uncertainty on the National Football League (NFL) secondary ticket market prices. As a demand-driven market, it is essential to comprehend how resellers respond to outcome uncertainty, one of the consumer demand factors in sports.Design/methodology/approachUsing real-time ticket prices and money lines as a proxy of the probabilities of winning, this study employs a regression analysis and examines 33,554 price observations from the NFL’s secondary ticket market partner, StubHub.FindingsThe result shows a positive relationship between outcome uncertainty and secondary market ticket prices, indicating that resellers adjust the prices in response to the level of outcome uncertainty and put more value on games with greater uncertainty. This finding confirms the demand-driven nature of the secondary ticket market, as outcome uncertainty is one of the demand factors in sports.Originality/valueThis study links the uncertainty of outcome hypothesis with secondary ticket market pricing and fills a gap in the literature by providing an important perspective on games with uncertainty in the secondary ticket market. Outcome uncertainty has limited understanding in relation to secondary ticket market pricing despite its relationship with consumer demand. The positive relationship between outcome uncertainty and the ticket prices, grounded in real-time price data and win probability from sport betting markets, enhances our understanding of price determinations in the secondary ticket market.

The Practical Impact of Price-Based Demand-Side Management for Occupants of an Office Building Connected to a Renewable Energy Microgrid

This paper examined the practical impact of price-based demand-side management (DSM) for occupants of an office building connected to a renewable energy microgrid. There has been an absence of studies that have analyzed occupant reactions, in terms of perceived practicality, regarding the implementation of DSM in conjunction with factors including renewable energy generation, load shifting and energy costs. An increased understanding of the practicality of DSM will support future improvements in building energy efficiency and sustainability. Ten occupants of the National Build Energy Retrofit Test-bed (NBERT) were selected as a case study. The electricity consumption pattern of the NBERT occupants was derived over a period of two years. Five unique DSM schedules were developed for each of the NBERT occupants, and a survey was carried out to investigate the practicality of these DSM schedules. A real-time electricity pricing tariff, electricity CO2 intensity, three feed-in tariffs and two microgrid control methods were evaluated to assess the practicality of each DSM schedule on the ten NBERT occupants. The results showed that the incorporation of onsite renewable energy generation with price-based DSM had a positive impact (r = 0.69–0.75) on occupant practicality. Onsite renewable energy generation was able to offset the demand for expensive electricity from the grid during peak hours, which aligned with the occupants’ typical work schedules. However, the introduction of a feed-in tariff with a renewable energy microgrid made price-based DSM less practical (r = 0.15–0.64).

Commercial EV fleet smart charging for cost reduction and renewables integration: A case study in Germany

The transition to electric mobility reduces transportation carbon emissions but presents challenges in integrating growing electricity demand with renewable electricity generation and power systems. Smart charging emerges as a key technology to minimize operational costs and support higher utilization of green electricity for electric vehicles (EVs). Market analysis indicates a trend towards dynamic electricity tariffs, incentivizing EV charging at times favourable to the electricity grid, yet existing literature fails to address smart charging technology in sync with times of lower electricity prices and higher renewables integration. This work examines different smart charging strategies for a commercial EV fleet in Germany, considering a Real-Time Pricing (RTP) tariff indexed to day-ahead market prices and renewable electricity integrations. HOMER Grid is used to model these smart charging strategies and generate new EV load profiles. Direct and indirect CO2 emissions and renewable electricity usage ratios are calculated based on detailed electricity grid and self consumption data. The resulting Levelized Cost of Energy (LCOE) is minimized, by adjusting solar PV and battery capacities. The adoption of an RTP tariff decreases the LCOE from €0.530 to €0.314 per kWh. A smart charging strategy designed to reduce peak demand and schedule charging at lower price times further reduces the LCOE to €0.283 per kWh. The lowest LCOE of €0.281 per kWh is achieved with 34.4 kWp of solar PV capacity and no batteries. The carbon impact is minimized with larger solar PV and battery capacities. The performed work indicates a favourable framework for EV charging integrators to maximize cost savings and renewable energy integration for an EV fleet charging use case.

A nonsmooth Levenberg–Marquardt method based on KKT conditions for real-time pricing in smart grid

The real-time pricing of smart grid, which is an important mean of demand side management, is an ideal method to adjust the power balance between the supply and demand in smart grid system. By transforming the social welfare maximization model into a nonsmooth system of equations based on KKT conditions and investigating the related nonsmooth-function’s generalized Jacobi, a nonsmooth Levenberg–Marquardt method with global convergence is proposed in this paper. Also, the local convergence rate is obtained under the local error bound, which is weaker than the nonsingular condition. Finally, numerical simulations show that the smaller the approximate parameter in smoothing Newton’s method, the closer the electricity price is to the value obtained by the proposed algorithm. And the price of the multi price based on the method is lower than that of the single price algorithm that does not consider user types. Meanwhile, compared with the distributed algorithm with different scales, it is found that the price is lower and the social welfare is higher, which shows that the algorithm is robust and effective.