An electricity charge strategy mechanism based on dynamic reward and punishment in smart grids

An electricity charge strategy mechanism based on dynamic reward and punishment is discussed in this paper. Several types of electricity charge strategy are proposed, such as unilateral linear punishment and nonlinear charge strategy, bilateral linear punishment and nonlinear charge strategy, bilateral linear reward and punishment and nonlinear charge strategy, unilateral nonlinear punishment and linear charge strategy, bilateral nonlinear reward and punishment and approximate linear charge strategy. The proposed mechanism can dissolve the contradiction between charging class and power supply-demand, which brought by the fixed class electricity price mechanism dominated by the power sector. Finally, the principle and algorithm of determining the expected power consumption is proposed from the perspective of Stackelberg strategy. Meanwhile, the principle of determining customers' optimal electric activities and electricity price algorithm is proposed.