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Essays on Mathematical Optimization for Residential Demand Response in the Energy Sector.

Record Type:	Language materials, manuscript : Monograph/item
Title/Author:	Essays on Mathematical Optimization for Residential Demand Response in the Energy Sector./
Author:	Palaparambil Dinesh, Lakshmi.
Description:	1 online resource (69 pages)
Notes:	Source: Dissertation Abstracts International, Volume: 79-08(E), Section: B.
Contained By:	Dissertation Abstracts International79-08B(E).
Subject:	Operations research. -
Online resource:	click for full text (PQDT)
ISBN:	9780355661231

Essays on Mathematical Optimization for Residential Demand Response in the Energy Sector.
Palaparambil Dinesh, Lakshmi.

Essays on Mathematical Optimization for Residential Demand Response in the Energy Sector. - 1 online resource (69 pages)

Source: Dissertation Abstracts International, Volume: 79-08(E), Section: B.

Thesis (Ph.D.)--University of Cincinnati, 2017.

Includes bibliographical references

In the electric utility industry, it could be challenging to adjust supply to match demand due to large generator ramp up times, high generation costs and insufficient in-house generation capacity. Demand response (DR) is a technique for adjusting the demand for electric power instead of the supply. Direct Load Control (DLC) is one of the ways to implement DR. DLC program participants sign up for power interruption contracts and are given financial incentives for curtailing electricity usage during peak demand time periods. This dissertation studies a DLC program for residential air conditioners using mathematical optimization models. First, we develop a model that determines what contract parameters to use in designing contracts between the provider and residential customers, when to turn which power unit on or off and how much power to cut during peak demand hours. The model uses information on customer preferences for choice of contract parameters such as DLC financial incentives and energy usage curtailment. In numerical experiments, the proposed model leads to projected cost savings of the order of 20%, compared to a current benchmark model used in practice. We also quantify the impact of factors leading to cost savings and study characteristics of customers picked by different contracts. Second, we study a DLC program in a macro economic environment using a Computable General Equilibrium (CGE) model. A CGE model is used to study the impact of external factors such as policy and technology changes on different economic sectors. Here we differentiate customers based on their preference for DLC programs by using different values for price elasticity of demand for electricity commodity. Consequently, DLC program customers could substitute demand for electricity commodity with other commodities such as transportation sector. Price elasticity of demand is calculated using a novel methodology that incorporates customer preferences for DLC contracts from the first model. The calculation of elasticity based on our methodology is useful since the prices of commodities are not only determined by aggregate demand and supply but also by customers' relative preferences for commodities. In addition to this we quantify the indirect substitution and rebound effects on sectoral activity levels, incomes and prices based on customer differences, when DLC is implemented.

Electronic reproduction.
Ann Arbor, Mich. :
ProQuest,
2018

Mode of access: World Wide Web

ISBN: 9780355661231Subjects--Topical Terms:

573517
Operations research.
Index Terms--Genre/Form:

554714
Electronic books.

Essays on Mathematical Optimization for Residential Demand Response in the Energy Sector.
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504 $a Includes bibliographical references
520 $a In the electric utility industry, it could be challenging to adjust supply to match demand due to large generator ramp up times, high generation costs and insufficient in-house generation capacity. Demand response (DR) is a technique for adjusting the demand for electric power instead of the supply. Direct Load Control (DLC) is one of the ways to implement DR. DLC program participants sign up for power interruption contracts and are given financial incentives for curtailing electricity usage during peak demand time periods. This dissertation studies a DLC program for residential air conditioners using mathematical optimization models. First, we develop a model that determines what contract parameters to use in designing contracts between the provider and residential customers, when to turn which power unit on or off and how much power to cut during peak demand hours. The model uses information on customer preferences for choice of contract parameters such as DLC financial incentives and energy usage curtailment. In numerical experiments, the proposed model leads to projected cost savings of the order of 20%, compared to a current benchmark model used in practice. We also quantify the impact of factors leading to cost savings and study characteristics of customers picked by different contracts. Second, we study a DLC program in a macro economic environment using a Computable General Equilibrium (CGE) model. A CGE model is used to study the impact of external factors such as policy and technology changes on different economic sectors. Here we differentiate customers based on their preference for DLC programs by using different values for price elasticity of demand for electricity commodity. Consequently, DLC program customers could substitute demand for electricity commodity with other commodities such as transportation sector. Price elasticity of demand is calculated using a novel methodology that incorporates customer preferences for DLC contracts from the first model. The calculation of elasticity based on our methodology is useful since the prices of commodities are not only determined by aggregate demand and supply but also by customers' relative preferences for commodities. In addition to this we quantify the indirect substitution and rebound effects on sectoral activity levels, incomes and prices based on customer differences, when DLC is implemented.
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