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The concept of Demand Response (DR) generally concerns methodologies, technologies and commercial arrangements that could allow active participation of consumers in the power system operation. The primary aim of DR is thus to overcome the “traditional” inflexibility of electrical demand and, amongst others, create a new powerful tool to maximize deployment of renewable energy sources as well as provide active network management solutions to help reducing the impact of limited grid capabilities.DR allows consumers to actively participate in power system operation, thus bringing new opportunities in emerging energy markets as well as tangible system benefits. In this sense, DR is considered one of the key enablers of the Smart Grid concept. However, DR also poses a number of challenges, particularly when “active demand” is connected to the Low Voltage network, thus affecting all the actors involved in the electricity chain.This book presents for the first time a comprehensive view on technical methodologies and architectures, commercial arrangements, and socio-economic and regulatory factors that could facilitate the uptake of DR. The work is developed in a systematic way so as to create a comprehensive picture of challenges, benefits and opportunities involved with DR. The reader will thus be provided with a clear understanding of the complexity deriving from a demand becoming active, as well as with a quantitative assessment of the techno-economic value of the proposed solutions in a Smart Grid context.Many research contributions have appeared in recent years in the field of DR, both in journals and conference proceedings. However, most publications focus on individual aspects of the problem. A systematic treatment of the issues to be tackled to introduce DR in existing electricity grids, involving the extended value chain in terms of technical and commercial aspects, is still missing. Also, several books have recently been published about Smart Grid, in which there is some mention to DR. However, again while DR is seen as a key pillar for the Smart Grid, there is no dedicated, comprehensive and systematic contribution in this respect.
Arturo Losi, Professor of Power Systems, Dipartimento di Ingegneria Elettrica e dell'Informazione "M. Scarano", University of Cassino and LM, Italy. Pierluigi Mancarella, Lecturer in Future Energy Networks, School of Electrical and Electronic Engineering, The University of Manchester, Ferranti Building, Manchester, UK. Antonio Vicino, Professor of Control Systems, Dipartimento di Ingegneria dell'Informazione e Scienze Matematiche, Università di Siena, Italy.
Preface xiArturo LOSI, Pierluigi MANCARELLA and Antonio VICINOList of Acronyms xviiChapter 1 Demand Response in Smart Grids 1Amir ABIRI-JAHROMI, Navdeep DHALIWAL and François BOUFFARD1.1. Introduction 11.2. Background on demand side management and demand response 21.3. Benefits offered by demand-side management 41.4. Types of demand response programs 51.4.1. Price-based programs 51.4.2. Incentive-based programs 61.5. Demand response performance, measurement and verification 81.6. The challenges: aligning economics and intelligence 81.7. Bibliography 9Chapter 2 Active Consumer Characterization and Aggregation 11Alessandro AGNETIS, Ignacio DELGADO ESPINÓS, Joseba JIMENO HUARTE, Marco PRANZO and Antonio VICINO2.1. Introduction 112.2. Overview of the interaction between aggregator and other system players 132.2.1. Markets 132.2.2. Regulated players 142.2.3. Deregulated players 142.2.4. Consumers 152.3. Consumption modeling and flexibility forecasting 152.3.1. Consumer segmentation 162.3.2. Forecasting baseline demand 182.3.3. Forecasting flexibility under a dynamic pricing scheme 192.3.4. Calibration of price sensitivity parameters 212.4. Algorithms for electricity market price forecasting 212.4.1. Short-term energy price forecasting 222.4.2. Short-term energy price volatility forecasting 252.5. Optimization algorithm for designing demand response-based offers for the market 262.5.1. Aggregator toolbox optimization model for the day-ahead market 282.6. Software architecture of the aggregator toolbox 312.7. Numerical results on simulation experiments 322.7.1. Flexibility forecasting 322.7.2. Generating market offers 342.8. Bibliography 37Chapter 3 Distributed Intelligence at the Consumer’s Premises 41Alessandro AGNETIS, Colin BROWN, Paolo DETTI, Joseba JIMENO HUARTE and Antonio VICINO3.1. Introduction 413.2. Functional architecture 433.2.1. User interface 443.2.2. Other interfaces 443.3. Software architecture 453.3.1. Software modules 463.3.2. Types of daemons 463.3.3. Software architecture layers 473.4. Classification of distributed energy resources 483.4.1. Non-controllable loads 483.4.2. Shiftable loads 483.4.3. Thermal loads 493.4.4. Curtailable loads 493.4.5. Non-dispatchable generation sources 503.4.6. Dispatchable generation sources 503.4.7. Storage systems 503.5. Optimization algorithm for appliance scheduling 513.5.1. The optimization problem solved by the energy box 523.5.2. A mathematical model for energy box scheduling problems 533.5.3. A heuristic algorithm for energy box scheduling problems 573.6. Results on testing the implementation of the software architecture 593.7. Bibliography 61Chapter 4 Distribution Control Center: New Requirements and Functionalities 65Lilia CONSIGLIO, Anna Rita DI FAZIO, Simone PAOLETTI, Mario RUSSO, Adrian TIMBUS and GiovanniVALTORTA4.1. Introduction 654.2. Functional specifications, including strategies 674.2.1. Distribution system operator’s algorithms and prototypes to enable and exploit demand response 684.3. Architectures of distribution system automation and control 704.3.1. Centralized approach 714.3.2. Decentralized approach 724.4. Active and reactive power control in medium-voltage active distribution grids 754.5. Validation of demand response products 764.5.1. Ex ante validation 774.5.2. Real-time validation 784.6. New operational planning applications for the medium-voltage control center 794.6.1. Forecasting tools 794.6.2. Market tools 824.7. Bibliography 84Chapter 5 Distribution Network Representation in the Presence of Demand Response 89Giovanni M. CASOLINO, Arturo LOSI, Christian NOCE and Giovanni VALTORTA5.1. Introduction 895.2. Requirements for distribution network monitoring and control 905.2.1. Functionalities at the distribution system operator control center level 905.2.2. Functionalities at the high-voltage/medium-voltage substation level 915.2.3. Functionalities at the medium voltage/low voltage level 925.3. Load areas 925.3.1. Identification 935.3.2. Modeling 965.4. Load areas: study cases 1005.4.1. Small-size grid 1005.4.2. Medium-size grid 1035.4.3. Large-size grid 1055.5. Appendix: active–reactive relationships 1075.5.1. Pure loads1075.5.2. Distributed generation 1075.6. Bibliography 108Chapter 6 Communication Needs and Solutions for the Deployment of Demand Response 111Tatjana KOSTIC, Dacfey DZUNG and Adrian TIMBUS6.1. Introduction 1116.2. Requirements 1116.2.1. System requirements 1116.2.2. Technical requirements 1136.2.3. Economic requirements 1166.3. Network architecture and communication technologies 1166.3.1. Architecture 1166.3.2. Network layer requirements 1206.3.3. Communication technologies 1216.3.4. Technologies summary and conclusions 1246.4. A communications solution for demand response 1256.4.1. Software architecture 1266.4.2. Anatomy of an interface 1286.4.3. Concrete example from the ADDRESS project 1296.4.4. Development and testing environment 1366.5. Summary on communications for demand response 1406.6. Bibliography 141Chapter 7 System-level Benefits of Demand Response 143Pedro LINARES, Mercedes VALLÉS, Pablo FRÍAS, Adela CONCHADO and Óscar LAGO7.1. Introduction 1437.2. System benefits 1457.2.1. Generation 1497.2.2. Networks 1527.3. Review of system benefits 1547.3.1. Consumer flexibility and capacity to respond to active demand signals 1567.3.2. Generation 1607.3.3. Networks 1637.4. Summary 1677.5. Bibliography 169Chapter 8 Techno-Economic Analysis of Demand Response 173Daan SIX, Eduardo Alejandro MARTÍNEZ CESEÑA, Carlos MADINA, Kris KESSELS, Nicholas GOOD and Pierluigi MANCARELLA8.1. Introduction 1738.2. Techno-economic analysis: identification of potential business cases for demand response in a networked business 1758.2.1. Technical dimension 1768.2.2. Economic dimension 1788.2.3. Business cases for demand response in a networked business: market participants 1808.2.4. ADDRESS business cases for demand response: interactions between market participants 1868.3. Techno-economic analysis of demand response: examples 1878.3.1. Categorization of possible demand response business cases 1878.3.2. Energy-oriented demand response business case studies 1908.3.3. Capacity-oriented demand response business case studies 1998.4. Conclusions 2108.5. Bibliography 211Chapter 9 Socioeconomic Aspects of Demand Response 215Sarah MANDER, Dana ABI GHANEM, Régine BELHOMME, Ignacio DELGADO ESPINÓS, Roberto GONZALEZ SAINZ-MAZA, Kris KESSELS and Marina LOMBARDI9.1. Introduction 2159.2. Social aspects of demand response 2169.3. Key elements of the ADDRESS project from the perspectives of participants 2219.3.1. Summary of the trial 2219.3.2. Theoretical perspective 2239.3.3. Everyday practices in the ADDRESS trial 2249.3.4. Motivations for taking part in the trial 2249.4. The everyday of demand response 2259.4.1. Technology: the energy box 2259.5. Shifting of loads 2309.5.1. Thermal comfort: space heating 2309.5.2. Thermal comfort: water heating 2309.5.3. Laundry 2319.6. The future of demand response 2349.7. Bibliography 237Chapter 10 Looking Forward: Gaps and Enablers for Wide Scale Demand Response Deployment 241Arturo LOSI, Pierluigi MANCARELLA and Antonio VICINO10.1. Introduction 24110.2. Aggregation function 24110.2.1. Market 24210.2.2. Standards 24310.2.3. Engagement 24410.3. Consumers 24410.3.1. Rules and markets 24410.3.2. Standards 24410.3.3. Engagement 24510.4. System operators 24610.4.1. Rules and markets 24610.4.2. Standards 24810.5. Other deregulated players 24810.5.1. Rules and markets 24810.5.2. Measurements 24910.5.3. Regulations 24910.5.4. Standards 25010.6. Manufacturers 25010.6.1. Rules and markets 25010.6.2. Standards 25010.6.3. Engagement 25110.7. Communications 25110.7.1. Communications between market players 25110.7.2. Communications for distribution system operators 25210.7.3. Communications within the house 25210.8. Future research and development 25210.9. Bibliography 253Appendix 255Tatjana KOSTIC, Dacfey DZUNG and Adrian TIMBUSList of Authors 267Index 271