The impacts of optional time-of-use prices: a case study

Train, Kenneth; Mehrez, Gil

doi:10.1016/0378-7788(95)00928-q

Cited by 11 publications

(3 citation statements)

References 8 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…It is expected that consumers with low peak demand are more likely to choose a TOU rate, unlike consumers with high demand during this period, as stated by Train and Mehrez (1995). Consumers with high off-peak demand are more likely to choose a TOU rate, in contrast to consumers with lower demand during this period.…”

Section: Behavioural Factormentioning

confidence: 89%

“…The switching of consumption to off-peak periods will depend on consumer behavior as well as on how rates are designed, as pointed out by Tanaka (2006), and this is a crucial point in dealing with the peak demand problem. In fact, as shown by Train and Mehrez (1995), consumers who opt for TOU rates, but retain the same kind of demand, are not contributing to solving the problem, because production costs remain the same. Accordingly, we are seeking to understand the actual conduct of the consumers and how they make their consumption decisions.…”

Section: Behavioural Factormentioning

confidence: 99%

See 1 more Smart Citation

Household Preferences for Time-of-Use Rates in the Portuguese Electricity Market

Marques

Fontes

Fuinhas

2012

Energy Studies Review

View full text Add to dashboard Cite

This paper contributes to the debate about peak-load pricing by making an analysis of the residential electricity market in Portugal. The results were built on techniques of logit regression complemented by quantile regression. We estimate the probability of choosing the Time-Of-Use electricity rate and the probability of reducing the Monthly Costs of Electricity by switching the rate for different consumer profiles. Factors such as consumer behaviour and knowledge are determinant when it comes to choosing differentiated rates. Our results suggest guidelines for defining policy measures that will promote an effective change in consumption periods and rate choices.

show abstract

Section: Behavioural Factormentioning

confidence: 89%

Section: Behavioural Factormentioning

confidence: 99%

Household Preferences for Time-of-Use Rates in the Portuguese Electricity Market

Marques

Fontes

Fuinhas

2012

Energy Studies Review

View full text Add to dashboard Cite

show abstract

“…In [7,8], it was demonstrated how consumers' responses to ToU-based tariffs are predictable through econometric models, which are generally applicable for predicting residential responses to ToU rates. Connection of consumers' demand curves with consumers' choice of rate schedule was addressed in [9] also by econometric models. The authors examined customers' choices between standard and ToU rate schedules.…”

Section: Introductionmentioning

confidence: 99%

Peak shaving and technical loss minimization in distribution grids: a time-of-use-based pricing approach for distribution service tariffs

Tör¹,

Cebeci²,

Koç³

et al. 2020

Turk J Elec Eng & Comp Sci

View full text Add to dashboard Cite

Deployment of time-of-use (ToU)-based retail energy tariffs (i.e. tariff for energy consumption-not the tariff for distribution service) is a common practice to incentivize consumers to use more energy at off-peak times. Distribution service tariffs (DSTs) are usually time-independent, which results in insensitivity of load to the distribution service cost. However, DST can also be time-dependent, which is studied in this paper. This study presents a methodology to address the effect of ToU pricing (i.e. time-dependent) of DSTs on peak shaving and technical loss minimization in power distribution grids. Here, the main focus is to assess the level of consumers' responses to ToU-based DSTs. Addressing such a problem necessitates detailed modeling of the distribution grid (including low-voltage grid) on the one hand and accurate modeling of the elasticity of consumers to ToU-based DSTs on the other hand. The other significant factor is the share of DST-originated cost within the total bill of the consumers. Considering these factors, the proposed approach is implemented on the pilot networks in the region of service associated with different distribution companies in Turkey. Response of consumers to ToU-based DSTs are addressed quantitatively in terms of peak shaving and technical loss minimization in the pilot regions. In addition, financial aspects of ToU-based DSTs are outlined from distribution companies and consumers standpoints.

show abstract