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Screening demand-side management programs with a value-based test

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2 Author(s)
Nelson, S.K. ; Dept. of Syst. Eng., Case Western Reserve Univ., Cleveland, OH, USA ; Hobbs, B.F.

A value-based test is presented for economic screening of electric utility demand-side management (DSM) programs. The widely used least cost test is valid if the programs do not alter the amount or value of energy services provided to customers. But, in general, DSM programs have such effects and, as a result, the value consumers receive is changed. A more general economic efficiency test, the most value test, provides a practical method for considering the effects of DSM on customer value. The version presented allows for multiple load periods and can account for rate impacts on several customer classes. Four typical DSM programs are evaluated as illustrations

Published in:

Power Systems, IEEE Transactions on  (Volume:7 ,  Issue: 3 )