Implementation challenges of automatic demand response for households in smart grids

Utilities rely on Demand response (DR) systems to balance the supply and demand in the power grid. Traditionally, DR systems are utilized by commercial customers since they consume a great deal of power during peak times. With the introduction of Open Automatic Demand Response (OpenADR), DR systems are increasingly becoming available to households. However, there are many obstacles that hinder the wide adoption of automatic demand response systems in the residential sector. In this paper, we focus on OpenADR implementation challenges in households and discuss technical and non-technical issues related to effectiveness, security, privacy, and scalability properties that must be considered when implementing automatic demand response (ADR) systems in households.