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Title: Transactive control of fast-acting demand response based on thermostatic loads in real-time retail electricity markets

Abstract

Coordinated operation of distributed thermostatic loads such as heat pumps and air conditioners can reduce energy costs and prevents grid congestion, while maintaining room temperatures in the comfort range set by consumers. This paper furthers efforts towards enabling thermostatically controlled loads (TCLs) to participate in real-time retail electricity markets under a transactive control paradigm. An agent-based approach is used to develop an effective and low complexity demand response control scheme for TCLs. The proposed scheme adjusts aggregated thermostatic loads according to real-time grid conditions under both heating and cooling modes. Here, a case study is presented showing the method reduces consumer electricity costs by over 10% compared to uncoordinated operation.

Authors:
ORCiD logo [1];  [2];  [3]; ORCiD logo [1]
  1. Univ. of Victoria, Victoria, BC (Canada)
  2. Univ. of Victoria, Victoria, BC (Canada); SLAC National Accelerator Lab., Menlo Park, CA (United States)
  3. Univ. of Victoria, Victoria, BC (Canada); King Abdulaziz Univ., Jeddah (Saudi Arabia)
Publication Date:
Research Org.:
SLAC National Accelerator Lab., Menlo Park, CA (United States)
Sponsoring Org.:
USDOE
OSTI Identifier:
1419979
Grant/Contract Number:
AC02-76SF00515
Resource Type:
Journal Article: Accepted Manuscript
Journal Name:
Applied Energy
Additional Journal Information:
Journal Volume: 210; Journal Issue: C; Journal ID: ISSN 0306-2619
Publisher:
Elsevier
Country of Publication:
United States
Language:
English
Subject:
29 ENERGY PLANNING, POLICY, AND ECONOMY; market-based control; resource allocation; smart grid; thermostatically controlled loads

Citation Formats

Behboodi, Sahand, Chassin, David P., Djilali, Ned, and Crawford, Curran. Transactive control of fast-acting demand response based on thermostatic loads in real-time retail electricity markets. United States: N. p., 2017. Web. doi:10.1016/j.apenergy.2017.07.058.
Behboodi, Sahand, Chassin, David P., Djilali, Ned, & Crawford, Curran. Transactive control of fast-acting demand response based on thermostatic loads in real-time retail electricity markets. United States. doi:10.1016/j.apenergy.2017.07.058.
Behboodi, Sahand, Chassin, David P., Djilali, Ned, and Crawford, Curran. 2017. "Transactive control of fast-acting demand response based on thermostatic loads in real-time retail electricity markets". United States. doi:10.1016/j.apenergy.2017.07.058.
@article{osti_1419979,
title = {Transactive control of fast-acting demand response based on thermostatic loads in real-time retail electricity markets},
author = {Behboodi, Sahand and Chassin, David P. and Djilali, Ned and Crawford, Curran},
abstractNote = {Coordinated operation of distributed thermostatic loads such as heat pumps and air conditioners can reduce energy costs and prevents grid congestion, while maintaining room temperatures in the comfort range set by consumers. This paper furthers efforts towards enabling thermostatically controlled loads (TCLs) to participate in real-time retail electricity markets under a transactive control paradigm. An agent-based approach is used to develop an effective and low complexity demand response control scheme for TCLs. The proposed scheme adjusts aggregated thermostatic loads according to real-time grid conditions under both heating and cooling modes. Here, a case study is presented showing the method reduces consumer electricity costs by over 10% compared to uncoordinated operation.},
doi = {10.1016/j.apenergy.2017.07.058},
journal = {Applied Energy},
number = C,
volume = 210,
place = {United States},
year = 2017,
month = 7
}

Journal Article:
Free Publicly Available Full Text
This content will become publicly available on July 29, 2018
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  • This paper develops and assesses the performance of a short-term demand response (DR) model for utility load control with applications to resource planning and control design. Long term response models tend to underestimate short-term demand response when induced by prices. This has two important consequences. First, planning studies tend to undervalue DR and often overlook its benefits in utility demand management program development. Second, when DR is not overlooked, the open-loop DR control gain estimate may be too low. This can result in overuse of load resources, control instability and excessive price volatility. Our objective is therefore to develop amore » more accurate and better performing short-term demand response model. We construct the model from first principles about the nature of thermostatic load control and show that the resulting formulation corresponds exactly to the Random Utility Model employed in economics to study consumer choice. The model is tested against empirical data collected from field demonstration projects and is shown to perform better than alternative models commonly used to forecast demand in normal operating conditions. Finally, the results suggest that (1) existing utility tariffs appear to be inadequate to incentivize demand response, particularly in the presence of high renewables, and (2) existing load control systems run the risk of becoming unstable if utilities close the loop on real-time prices.« less
  • This paper develops and assesses the performance of a short-term demand response (DR) model for utility load control with applications to resource planning and control design. Long term response models tend to underestimate short-term demand response when induced by prices. This has two important consequences. First, planning studies tend to undervalue DR and often overlook its benefits in utility demand management program development. Second, when DR is not overlooked, the open-loop DR control gain estimate may be too low. This can result in overuse of load resources, control instability and excessive price volatility. Our objective is therefore to develop amore » more accurate and better performing short-term demand response model. We construct the model from first principles about the nature of thermostatic load control and show that the resulting formulation corresponds exactly to the Random Utility Model employed in economics to study consumer choice. The model is tested against empirical data collected from field demonstration projects and is shown to perform better than alternative models commonly used to forecast demand in normal operating conditions. The results suggest that (1) existing utility tariffs appear to be inadequate to incentivize demand response, particularly in the presence of high renewables, and (2) existing load control systems run the risk of becoming unstable if utilities close the loop on real-time prices.« less
  • This study proposes an innovative economic and engineering coupled framework to encourage typical flexible loads or load aggregators, such as parking lots with high penetration of electric vehicles, to participate directly in the real-time retail electricity market based on an integrated eVoucher program. The integrated eVoucher program entails demand side management, either in the positive or negative direction, following a popular customer-centric design principle. It provides the extra economic benefit to end-users and reduces the risk associated with the wholesale electricity market for electric distribution companies (EDCs), meanwhile improving the potential resilience of the distribution networks with consideration for frequencymore » deviations. When implemented, the eVoucher program allows typical flexible loads, such as electric vehicle parking lots, to adjust their demand and consumption behavior according to financial incentives from an EDC. A distribution system operator (DSO) works as a third party to hasten negotiations between such parking lots and EDCs, as well as the price clearing process. Eventually, both electricity retailers and power system operators will benefit from the active participation of the flexible loads and energy customers.« less