Optimal grid-connected microgrid scheduling incorporating an incentive-based demand response program

Abstract

This study investigates the optimal scheduling of a grid-connected microgrid incorporating an incentive-based demand response program (IBDRP) at the customer side to reduce electricity consumption. A mixture of renewable and non-renewable energy sources was deployed in the microgrid. This comprises wind energy, solar energy and power generating units (PGUs). A multi-objective model was formulated which seeks to simultaneously minimize the annual cost of electricity production, minimize the carbon dioxide emission and maximize the customers’ participation in the IBDRP, to increase the customer benefit that comes with the program. The Advanced Interactive Multidimensional Modeling System (AIMMS) software was used to solve the formulated multi-objective optimization model. The simulation results obtained show the applicability of the model.