Optimization modeling for dynamic price based demand response in microgrids

Eco-friendly technologies regarding electricity production are urgent need of sustainable energy development. The renewable energy resources (RERs) have brought green revolution in mitigation of greenhouse gaseous emission resulted from traditional energy resources (TERs). Moreover, the effective utilization of these resources is influenced by pricing schemes which have limitations. Therefore, this paper aims at optimization modeling for dynamic price-based demand response (DR) which includes flexible and inflexible loads along with the effective utilization of RERs i.e. photovoltaics (PVs) and wind turbines (WTs) in a microgrid (MG). The optimization problem regarding profit maximization for loads (flexible and inflexible) is solved via particle swarm optimization (PSO). Two cases are used to evaluate the performance of proposed dynamic pricing scheme. The simulation results have shown that proposed scheme is suitable in term of profit and comfort for flexible and inflexible loads as compared to fixed pricing scheme in both cases. In addition, the dynamic pricing scheme is exemplified as plug and play devices because of its easy implementation in present market structure without any modification. (C) 2019 Elsevier Ltd. All rights reserved.