Supply Side Management vs. Demand Side Management of a Residential Microgrid Equipped with an Electric Vehicle in a Dual Tariff Scheme

Abstract

Fundamentally, two main methodologies are used to reduce the electric energy bill in residential, commercial, and even industrial applications. The first method is to act on the supply side by integrating alternative means of power generation, such as renewable energy generators, having a relatively low levelized cost of energy. Whereas, the second methodology focuses on the management of the load to minimize the overall paid cost for energy. Thus, this article highlights the importance of demand side management by comparing it to the supply side management having, as criteria, the total achieved savings on the overall annual energy bill of a residential microgrid supplied by two power sources and equipped with an electric vehicle. The optimization takes into consideration the cost of kWh that is paid by the prosumer based on an economical model having as inputs the outcomes of the energy model. The adopted energy model integrates, on the demand side, an intelligent energy management system acting on secondary loads, and on the supply side, a photovoltaic (PV) system with and without battery energy storage system (BESS). The outcome of this work shows that, under the right circumstances, demand side management can be as valuable as supply side control.

Solar-Powered Charging Networks for Electric Vehicles

“…Demand management is an important topic and considered in many publications [2,19,23,27,28,[32][33][34][35][36]. Most of the past work has been on managing peak power demand.…”

Optimization of Electric Vehicle Charging Scheduling in Urban Village Networks Considering Energy Arbitrage and Distribution Cost

“…The EV aggregator can communicate with an EV owner for obtaining daily traveling data such as the expected arrival time at home and departure time from home while the driven distance can be forecast by using the historical data or user provides. Also, the EV charging scheduling can be controlled through the home energy management system (HEMS) [25].…”

An Optimization Model for Energy Community Costs Minimization Considering a Local Electricity Market between Prosumers and Electric Vehicles

“…Demand-side management (DSM) enables EV smart charging, making it possible to move the load without violating the user's preferences, e.g., having a 100% charged battery at departure time [8]. The interaction of EVs loads in DSM is now a popular approach that can be found in the literature [9]. The popularization of EVs has been possible not only because they allow the reduction of GHGs but also because the cost of batteries has drastically reduced [10], thus causing a reduction in the costs of acquiring EVs.…”

“…Based on the analysis carried out based on the aforementioned papers, there is a lack of approaches that have studied and simulated the interaction of EVs and prosumers in the LEM context. The authors of [9] included the interaction of prosumers with EVs when they are in their own home, but they did not address the electricity business between other peers. The authors of [17] addressed the charging coordination for EVs but the possibility of negotiating local electricity was not considered.…”