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Quantifying the Effect of Demand Response on Electricity Markets

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2 Author(s)
Chua-Liang Su ; Sch. of Electr. & Electron. Eng., Univ. of Manchester, Manchester, UK ; Kirschen, D.

It is widely agreed that an increased participation of the demand side in the electricity markets would produce benefits not only for the individual consumers but also for the market as a whole. This paper proposes a method for quantifying rigorously the effect that such an increase would have on the various categories of market participants. A new centralized complex-bid market-clearing mechanism has been devised to take into consideration the load shifting behavior of consumers who do submit price-sensitive bids. The effects of the proportion of demand response on the market are illustrated using a test system with ten generating units scheduled over 24 periods.

Published in:

Power Systems, IEEE Transactions on  (Volume:24 ,  Issue: 3 )

Date of Publication:

Aug. 2009

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