Interactive Demand Response in a Locality of Smart Power System

Demand response programs in smart grid environment encourage the energy consumer to interact directly with the grid so that they can participate in electricity market actively. In this paper, a locality in smart power system is considered, where each consumer is intending to reduce the energy consumption cost by jointly scheduling their electric appliances. Non-cooperative game theory is applied to frame the distributed load scheduling game, where the consumers are considered as the players and the energy consumption schedules of their appliances as strategies. Genetic Algorithm (GA) is used as the optimization tool for individual consumer load scheduling to minimize the electricity bill. Interactive scheduling is done using both simultaneous method and sequential method.