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Price-Based Demand Response Strategy for Coordinated PV Distributed Generation and Demand Side Management in Distribution Network

This paper presents a model for demand response programs in distribution networks with photovoltaic distributed generation. The demand-price elasticity approach proposed in this paper considers the load profile for customers, participating in demand response programs. The objective of this research is to demonstrate the best strategy for using the critical peak pricing tariff as well the proposed tariff, designed to minimize its drawbacks. The main goal of the proposed tariff is to take advantage of PV system output power for demand reduction. The benefit and drawbacks of each demand response program are considered, including evaluation of customer electricity costs, losses in the distribution system, and utility electricity purchase costs. The case study consists of a photovoltaic system connected to feeders in the distributed grid. The simulated model of the proposed method was built using DIgSILENT PowerFactory software. The proposed tariff was calculated using MATLAB, with a goal of improving improve the effectiveness of price- based demand response programs. Validation of simulation results is carried out through a time sequence analysis over an hourly simulation period. The economic profits and losses are analyzed under Time of Use tariffs, Critical Peak Pricing tariffs, and the proposed tariffs, with a high penetration level of the photovoltaic system.