A Robust Scalable Demand-Side Management Based on Diffusion-ADMM Strategy for Smart Grid

Abstract

Demand-side management (DSM) involves a group of programs, initiatives, and technologies designed to encourage consumers to modify their level and pattern of electricity usage. This is performed following methods such as financial incentives and behavioral change through education. While the objective of the DSM is to achieve a balance between energy production and demand, effective and efficient implementation of the program rests within effective use of emerging Internet of things (IoT) concept for online interactions. Here, a novel DSM framework based on diffusion and alternating direction method of multipliers (ADMM) strategies, repeated under a model predictive control (MPC) protocol, is proposed. On the demand side, the customers autonomously and by cooperation with their immediate neighbors estimate the baseline price in real time. Based on the estimated price signal, the customers schedule their energy consumption using the ADMM cost-sharing strategy to minimize their incommodity level. On the supply side, the utility company determines the price parameters based on the customers real-time behavior to make a profit and prevent the infrastructure overload. The proposed mechanism is capable of tracking drifts in the optimal solution resulting from the changes in supply/demand sides. Moreover, it considers all classes of appliances by formulating the DSM problem as a mixed-integer programming (MIP) problem. Numerical examples are provided to show the effectiveness of the proposed framework.

Applications of mechanism design in market-based demand-side management: A review

“…Strictly concave functions satisfy the above properties. Examples of such functions include a bounded quadratic function, used in [22,25,27,37,64,83,89,91,101,102,109,114,119,125,127] and a logarithmic function [81,123,124,132]. Many of the reviewed papers model the utility function to be concave in quantity, however, this formulation has some limitations.…”

Construction of Financial Management System Model Based on Internet Technology

“…Therefore, financial companies must be able to ensure that funds meet the requirements of enterprise groups at any time. At the same time, in the process of operation, funds also need to keep good liquidity at all times [24]. Arooj and others believe that "Internet +" is an innovative "shared thinking."…”

A Heuristic to Create Prosumer Community Groups in the Social Internet of Energy

“…The authors in [ 11 ] also consider the communication/computation overhead in fully distributed DSM strategies. They apply a load-shifting DSM strategy while reducing costs and customer dissatisfaction.…”

“…Some similarities can be drawn between [ 10 , 11 ] and our approach. We attribute reduction in communication/computation costs in the groups of customers and their local communication; these groups usually exchange aggregate information with the utility, although there might be situations that require one-to-one communication with the utility.…”

“…Furthermore, prosumers are not the last nodes that need coordination, but the energy-consuming devices and appliances they own. There seems to be an increasing concern about the scalability of DSM services [ 10 , 11 ]. To tackle such challenge, we envision a synergy between SIoT [ 12 ] and SGs, and, in our previous work [ 8 ], we coined the term Social Internet of Energy (SIoE) to refer to this union.…”