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Real-time demand response is essential for handling the uncertainties of renewable generation. Traditionally, demand response has been focused on large industrial and commercial loads, however it is expected that a large number of small residential loads such as air conditioners, dish washers, and electric vehicles will also participate in the coming years. The electricity consumption of these smaller loads, which we call deferrable loads, can be shifted over time, and thus be used (in aggregate) to compensate for the random fluctuations in renewable generation. In this paper, we propose a real-time distributed deferrable load control algorithm to reduce the variance of aggregate load (load minus renewable generation) by shifting the power consumption of deferrable loads to periods with high renewable generation. At every time step, the algorithm minimizes the expected variance to go with updated predictions. We prove that suboptimality of the algorithm vanishes as time horizon expands. Further, we evaluate the algorithm via trace-based simulations.
Gan et al. (Tue,) studied this question.
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