Operation management of a renewable microgrid supplying to a residential community under the effect of incentive-based demand response program

A micro-grid (MG) comprises different energy sources of different operational characteristics. In this paper, we present an operation management model of a MG integrated with small renewable energy resources. The MG is operating in grid-connected mode and feeding energy to a residential community. The consumers of the residential community are participating in an incentive-based demand response (DR) program. The problem is formulated for the generation scheduling of the MG sources so that the operational cost and pollutants emission from the MG could be minimized in the presence of incentive responsive loads. The problem is then solved by the mixed integer linear programing technique using CPLEX solver of the GAMS software. The simulation results are achieved by solving the problem under three different cases. For the comparison of the results, we consider two scenarios in each case; (i) without DR program, (ii) with DR program. Finally, the trade-off between two conflicting objectives has been analyzed and optimal solution is achieved and presented in the paper.