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(Reference retrieved automatically from Web of Science through information on FAPESP grant and its corresponding number as mentioned in the publication by the authors.)

Framework for optimizing the demand contracted by large customers

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Author(s):
Rosado, Barbara [1] ; Torquato, Ricardo [1] ; Venkatesh, Bala [2] ; Gooi, Hoay Beng [3] ; Freitas, Walmir [1] ; Rider, Marcos J. [1]
Total Authors: 6
Affiliation:
[1] Univ Estadual Campinas, Dept Syst & Energy, 400 Albert Einstein Ave, Campinas, SP - Brazil
[2] Ryerson Univ, Ctr Urban Energy, 350 Victoria St, Toronto, ON - Canada
[3] Nanyang Technol Univ, Sch Elect & Elect Engn, 50 Nanyang Ave, Singapore - Singapore
Total Affiliations: 3
Document type: Journal article
Source: IET GENERATION TRANSMISSION & DISTRIBUTION; v. 14, n. 4, p. 635-644, FEB 28 2020.
Web of Science Citations: 0
Abstract

Large customers in many electric distribution utilities must enter into demand contracts for the ensuing year for defining contracted demand. Customer demand charge equals contracted demand billed at contracted tariff if the peak demand is less than the contracted demand, and, if not, the excess is billed at the uncontracted tariff. Both scenarios lead to economic loss for the customer, as the uncontracted tariff is much higher than the contracted tariff. Further, optimization of demand contracts is also important for utilities, as they plan and operate their system to satisfy customer peak demand. If under planned, it leads to technical challenges, and otherwise, it leads to economic loss. This challenge of determining the best demand to be contracted is known as the demand cost optimization problem and would save US\$ 38 billion globally to customers. This work describes the problem through a graphical approach and proposes three mathematical models to find the optimum demand even in the presence of intermittent renewable generation. Each model is verified through a case study and an exhaustive study with 7,000 large customers from a Brazilian utility. The formulations are easily implementable and have the potential to assist large customers and utilities with planning studies. (AU)

FAPESP's process: 18/24018-0 - Methodologies for the Integration of High-Resolution Measurements on Management of Modern Power Distribution Systems
Grantee:Ricardo Torquato Borges
Support type: Scholarships in Brazil - Post-Doctorate
FAPESP's process: 15/21972-6 - Optimization of the operation and planning in transmission and distribution systems
Grantee:Rubén Augusto Romero Lázaro
Support type: Research Projects - Thematic Grants
FAPESP's process: 16/08645-9 - Interdisciplinary research activities in electric smart grids
Grantee:Jose Antenor Pomilio
Support type: Research Projects - Thematic Grants
FAPESP's process: 17/20332-9 - Impact of massive penetration of intermittent generation and energy storage devices in planning the amount of transmission system usage
Grantee:Bárbara Resende Rosado
Support type: Scholarships in Brazil - Master