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Optimal model for electricity Tariff calculation

This work proposes a time-of-use (ToU) tariff calculation based on Optimal Dynamic Tariff Method (ODTM) for both peak and off-peak periods. The proposed approach is formulated as a non-linear program where Shifted Demand (SD) from peak to off-peak is considered as an optimization variable as well as peak and off-peak tariffs. The proposed model takes into account consumer behavior when a change in the price of electricity for peak and off-peak hours occurs. In addition, the distribution network is included to evaluate changes in voltage profile and investment costs. Two distribution test systems are used to show the effectiveness of the ODTM to lead the system for a win-win energy market.