Electricity supply is not simply a matter of quantity, but a time lasting service that matches with a wave-like load curve. It logically deserves a pricing based on the curve per se rather than simply integral of load. This paper introduces to price electricity consumption based on dynamism of load, which is an equivalent characterization of load. Orthonormal basis with definable and distinguishable periodicity that can linearly express load curves constitutes a space to capture the dynamism, where coefficients of the basis quantify the dynamism in multiple dimensions. A price function is proposed to map the coefficients to a numerical charge. A pricing model on the space specialized by the Fourier series is derived for the simplest one-source-one-subscriber system and generalized to a single-bus system with multiple sources and multiple subscribers. Examples will demonstrate the use of the proposed pricing and its effectiveness in reflecting the cost of generation to cope with load dynamism and guaranteeing fairness.
Real-time Building Energy Storage Scheduling under Electrical Load Uncertainty: A Dynamic Markov Decision Process Approach with Comprehensive Analysis of Different Pricing Policies
We propose a scenario-oriented approach for energy-reserve joint procurement and pricing for electricity market. In this model, without the empirical reserve requirements, reserve is procured according to all possible contingencies and load/renewable generation fluctuations with the minimum expected system total cost. The innovative locational marginal pricing approach for loads, generations and reserve and the associated settlement process are proposed. We show that payments from loads, payments to generators and congestion rent will reach their balance in the basecase as well as in all scena…
Optimizing production scheduling of steel plate hot rolling for economic load dispatch under time-of-use electricity pricing
Xiangtan University（湘潭大学）；Hunan Province Cooperative Innovation Center for Wind Power Equipment and Energy Conversion, College of Information Engineering, Xiangtan University（湘潭大学信息工程学院风力发电设备与能量转换湖南省协同创新中心）；Xiangtan Iron and Steel Corporation Ltd（湘潭钢铁集团有限公司）
Demand response (DR) for smart grids, which intends to balance the required power demand with the available supply resources, has been gaining widespread attention. The growing demand for electricity has presented new opportunities for residential load scheduling systems to improve energy consumption by shifting or curtailing the demand required with respect to price change or emergency cases. In this paper, a dynamic residential load scheduling system (DRLS) is proposed for optimal scheduling of household appliances on the basis of an adaptive consumption level (CL) pricing scheme (ACLPS). Th…
Spot pricing is often suggested as a method of increasing demand-side flexibility in electrical power load. However, few works have considered the vulnerability of spot pricing to financial fraud via false data injection (FDI) style attacks. In this paper, we consider attacks which aim to alter the consumer load profile to exploit intraday price dips. We examine an anomaly detection protocol for cyber-attacks that seek to leverage spot prices for financial gain. In this way we outline a methodology for detecting attacks on industrial load smart meters. We first create a feature clustering mode…
The emergence of Distributed Energy Resources (DERs) provides both challenges and opportunities for the planning and operations of distribution systems. These resources can be deployed in a manner that is either complementary to or in competition with traditional network operations and planning as the DERs can provide numerous important services to grid operators and utilities. This paper presents a novel method to estimate the trade off between DERs and traditional investments using a dynamic Peak-Load Pricing (PLP) methodology. PLP is a pricing strategy for a time-dependent quantity of a non…
We consider the problem of an aggregator attempting to learn customers' load flexibility models while implementing a load shaping program by means of broadcasting daily dispatch signals. We adopt a multi-armed bandit formulation to account for the stochastic and unknown nature of customers' responses to dispatch signals. We propose a constrained Thompson sampling heuristic, Con-TS-RTP, that accounts for various possible aggregator objectives (e.g., to reduce demand at peak hours, integrate more intermittent renewable generation, track a desired daily load profile, etc) and takes into account t…
This paper studies optimal pricing and rebalancing policies for Autonomous Mobility-on-Demand (AMoD) systems. We take a macroscopic planning perspective to tackle a profit maximization problem while ensuring that the system is load-balanced. We begin by describing the system using a dynamic fluid model to show the existence and stability of an equilibrium (i.e., load balance) through pricing policies. We then develop an optimization framework that allows us to find optimal policies in terms of pricing and rebalancing. We first maximize profit by only using pricing policies, then incorporate re…
Renewable sources are taking center stage in electricity generation. However, matching supply with demand in a renewable-rich system is a difficult task due to the intermittent nature of renewable resources (wind, solar, etc.). As a result, Demand Response (DR) programs are an essential part of the modern grid. An efficient DR technique is to devise different pricing schemes that encourage customers to reduce or shift the electric load. In this paper, we consider a market model for DR using Block Rate Pricing (BRP) of two blocks. We use a utility maximization approach in a competitive market. …
Electric power generation, transmission, and distribution systems are attracting a large amount of interest from researchers with the development of the smart grid technologies. A smart grid aims at effective control and conditioning of the distribution of electricity. Pricing signal based distribution system are seen as one of the novel ways to achieve control in a smart grid. In our work, we propose to use a pricing signal modeled after the locational marginal price in the transmission system to locally provide price data to the users. The formulation and implementation of the distributional…
We consider the scenario where $N$ utilities strategically bid for electricity in the day-ahead market and balance the mismatch between the committed supply and actual demand in the real-time market, with uncertainty in demand and local renewable generation in consideration. We model the interactions among utilities as a non-cooperative game, in which each utility aims at minimizing its per-unit electricity cost. We investigate utilities' optimal bidding strategies and show that all utilities bidding according to (net load) prediction is a unique pure strategy Nash Equilibrium with two salient…
Tsinghua University（清华大学）；Institute for Interdisciplinary Information Sciences（交叉信息研究院）
Data analytics and machine learning techniques are being rapidly adopted into the power system, including power system control as well as electricity market design. In this paper, from an adversarial machine learning point of view, we examine the vulnerability of data-driven electricity market design. More precisely, we follow the idea that consumer's load profile should uniquely determine its electricity rate, which yields a clustering oriented pricing scheme. We first identify the strategic behaviors of malicious users by defining a notion of disguising. Based on this notion, we characterize…
The implementation of electricity markets based on locational marginal pricing in a multi-settlement process has allowed wholesale competition, with pricing mechanisms that incentivize the optimal allocation of generation, transmission, and demand-response resources. While efficiency and reliability gains have been achieved in the US at a regional level, the lack of adequate inter-regional coordination mechanisms has limited broader gains. The shortcomings of cross-border coordination of electricity markets become more apparent as the industry transitions towards higher penetration of renewabl…
Optimal Policies for Simultaneous Energy Consumption and Ancillary Service Provision for Flexible Loads under Stochastic Prices and No Capacity Reservation Constraint
Modeling Coincident Peak Pricing in Electricity Markets: Challenges and Peak Shaving Effectiveness
John A. Paulson School of Engineering and Applied Sciences, Harvard University（哈佛大学约翰·A·保尔森工程与应用科学学院）；College, the University of Chicago（芝加哥大学学院）；Harvard Kennedy School of Government, Harvard University（哈佛大学肯尼迪政府学院）
