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    Economic and Operational Implications of Demand Charge for Distribution Systems with Renewable Energy

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    CIRED 2018 Ljubljana WS - 0183 - 20957.pdf (530.3Kb)
    Paper number
    0183
    Conference name
    CIRED 2018 Ljubljana Workshop
    Conference date
    7 - 8 June 2018
    Conference location
    Ljubljana, Slovenia
    Peer-reviewed
    Yes
    Metadata
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    Authors
    fang, chen, Electric Power Research Institute, State Grid Shanghai Municipal Electric Power Company, China
    Cao, Weibin, State Grid Shanghai Municipal Electric Power Company, China
    Zhang, Duanhong, Shanghai Jiao Tong University, China
    Feng, Donghan, Shanghai Jiao Tong University, China
    Liu, Zeyu, Shanghai Jiao Tong University, China
    Abstract
    Demand charge is a tariff option widely used in commercial and industrial sectors. As the demand charge bills on the peak load within a specified period, it is considered a useful pricing tool when the net electricity usage is declining due to distributed renewable integration. We study the retail tariff design problem with demand charge to maximize the social welfare while maintains the utility’s break-even constraint. A Stackelberg game model is adopted to describe the interactions between the retailer and consumers. The tariff design problem is then formulated as a bi-level programming model and transformed into a mathematical program with equilibrium constraints (MPEC). Real-world demand and tariff data are used to show the economic and operational benefits of three different tariff designs.
    Publisher
    AIM
    Date
    2018-06-07
    Published in
    • CIRED 2018 Ljubljana Workshop on Microgrids and Local Energy Communities
    Permanent link to this record
    https://www.cired-repository.org/handle/20.500.12455/1226
    http://dx.doi.org/10.34890/364
    ISSN
    2032-9628
    ISBN
    978-2-9602415-1-8

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