PRICE BASED DECISION MAKING FOR DEMAND SIDE MANAGEMENT CONSIDERING CUSTOMER SATISFACTION INDEX

The retail market will be opened and demand elasticity should be considered in the further electricity market evolution. So that, the electric power loads should be controlled autonomously by consumers themselves according to price signals. After analyzing the price elasticity of power demands and the reaction of different types of load consumers to the electricity price, a new unified reaction model is proposed to formulate the relationship between load level and electricity price within the calculating periods. Then, a method is presented to calculate Customer Satisfaction Index (CSI), which is based on the analysis of the consumption behavior of load customers. Finally, a price based DSM optimization model is proposed in this paper, which takes CSI into consideration. The numeric example shows the feasibility and potential of applying the proposed models to manage load demands through price signals in market-based environment.