The convergence of electrical power control systems and communication techniques enables the intelligence over current and future power grid system which evolves to the smart grid. Demand response (DR) is considered as a killer application for so-called smart grid. Real-time DR control relies on efficient and reliable communication services. In this paper, the impact of packet losses during communication on DR control has been investigated, using the control strategy in . Then, an analytical model for quantifying the performance of packet loss and energy consumption for transmission in a clustering-based multi-hop wireless communication network has been established. Finally, how to improve the design of wireless communication networks is proposed to satisfy the DR control requirements and to minimize the energy consumption for communications.