Optimal behavior of smart households facing with both price-based and incentive-based demand response programs

Because of various developments in communications and technologies, each residential consumer has been enabled to contribute in Demand Response Programs (DRPs), manage its electrical usage and reduce its cost by using a Household Energy Management (HEM) system. An operational HEM model is investigated to find the minimum consumer's cost in every DRP and to guarantee the end-user's satisfaction, as well as to ensure the practical constraints of every battery and residential appliance. The numerical studies show that the presented method considerably affects the operational patterns of the HEM system in each DRP. According to the obtained results, by employing the presented method the consumer's cost is decreased up to 40%.