Optimization of Direct Load Control Demand Response for Industrial Micro-Grid Using Smart Meter

The industrial sector is one of the largest electricity consumers, and it is essential to optimize energy consumption to reduce costs and enhance energy efficiency. Demand response (DR) is a strategy that aims to manage and reduce peak electricity demand by shifting energy consumption to off-peak hours or reducing energy consumption during Peak demand periods. Smart meters are a promising technology for implementing DR programs in the industrial microgrid, as they enable real-time monitoring and control of energy usage, providing customers with accurate information about their energy consumption patterns. This study presents an integrated approach to enhance the efficiency of direct load control demand response (DLC-DR) in industrial settings by leveraging smartmeter technology. The primary objective is to concurrently lower energy consumption and associated expenses while reinforcing grid stability. The optimization is formulated as Mixed Integer Linear Programming (MILP). The case study Simulated in the plastic industry shows that Direct load control Demand response in an industrial microgrid with Renewable Energy Resources (RES) and a battery energy storage system (BESS) can effectively utilize the reliability and flexibility of the power grid by reducing peak demand as well as the electricity cost.