Aggregated demand response modelling for future grid scenarios

With the increased penetration of intermittent renewable energy sources (RESs) in future grids (FGs), balancing between supply and demand will become more dependent on demand response (DR) and energy storage. Thus, FG feasibility studies will need to consider DR for modelling net future demand. This paper proposes a generic demand model which represents the aggregated effect of DR in terms of a simplified market model of a FG. The model is based on a unit commitment problem aiming to minimise the system cost, and is intended specifically for modelling net demand by including the effect of DR in FG scenario studies. However, the model does not presume any particular market structure. As such, it is not suitable for modelling of existing electricity markets, but rather its aim is to capture the behaviour of future electricity markets provided a suitable market structure is adopted. The conventional demand model in the optimisation formulation is augmented by including the aggregated effect of numerous users equipped with rooftop photovoltaic (PV)-battery systems at higher voltage levels, without explicitly modelling the distribution level. In the model, the users are aiming to maximise self-consumption and are assumed to be price anticipators. As a case study, the effect of the demand model is studied on the load profile, balancing and loadability of the Australian National Electricity Market in 2020 with the increased penetration of RESs. The results are compared with the demand model in which users are assumed to be price takers.