Study on the promotion impact of demand response on distributed PV penetration by using non-cooperative game theoretical analysis

Abstract

33Promoting the penetration of distributed photovolataic systems (PV) at the end-34 user side is an important contribution to carbon reduction. This study aims to evaluate 35 the promotion impact of the level of smart consumers on the installation of distributed 36 PV using a non-cooperative game theoretical model, which can find the Nash 37 equilibrium of residential smart consumers with different levels of demand control 38 capability in a electricity power market with real-time pricing mechanism under 39 different installed PV capacities and battery capacities. As a case study, 5 levels of smart 40 control, 32 combinations of PV installed capacities and battery capacities were 41 analyzed and inter-compared using the developed model. The results show that: (i) the 42 consumers with higher smart control level are able to accept larger PV capacity because 43 the marginal revenue of new installed PV for smart consumers decreases much more 44 slowly compared to that of a common consumer; (ii) the smarter consumers need less 45 batteries to promote PV economic acceptability; (iii) the smarter consumers can meet 46 the electricity demand in real-time with least expenditure thanks to their advanced 47 demand-response capability, so they get more ultimate benefit from the games. 48 49 Game, Complementarity Model 51 7 price is usually set as exogenous. The consumers are price-takers rather than players in 131 the market, which means that the consumers' behavior has no impact on the electricity 132 price. The other type of model is the game theoretical model, for example the non-133 cooperative game models handling games among residential consumers equipped with 134 distributed electricity generators [18][19][20], Stackelberg game models dealing with games 135 between utility companies and smart end-users (such as residential smart homes) in 136 demand response programs [21], and market equilibrium models focusing on the whole 137

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Clean, efficient and affordable energy for a sustainable future

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