The case for efficient renewable energy management in smart homes

Distributed generation (DG) uses many small on-site energy sources deployed at individual buildings to generate electricity. DG has the potential to make generation more efficient by reducing transmission and distribution losses, carbon emissions, and demand peaks. However, since renewables are intermittent and uncontrollable, buildings must still rely, in part, on the electric grid for power. While DG deployments today use net metering to offset costs and balance local supply and demand, scaling net metering for intermittent renewables to many homes is difficult. In this paper, we explore a different approach that combines residential TOU pricing models with on-site renewables and modest energy storage to incentivize DG. We propose a system architecture and control algorithm to efficiently manage the renewable energy and storage to minimize grid power costs at individual buildings. We evaluate our control algorithm by simulation using a collection of real-world data sets. Initial results show that the algorithm decreases grid power costs by 2.7X while nearly eliminating grid demand peaks, demonstrating the promise of our approach.