Demand side management (DSM) implementation is rising in Indian power sector for the large commercial and industrial customers. Introduction of time of day (TOD) tariff encouraged them to use electricity efficiently. But, residential customers are not exposed to TOD tariff structure so far in India. This makes inefficient use of electricity by residential customers. Non existence of DSM incentives for residential customers leads to inefficient utilization of devices. This paper mainly focuses on the importance of DSM for residential customers that help distribution utilities to reduce peak load and their operational cost. A case study of DSM implementation on electricity distribution for IIT Roorkee campus is carried out using non conventional optimization technique. This is an eye opening for Indian utilities which demonstrates their inefficiency due to non support of residential customers. Scenario of DSM would have been different if utility gives more attention to TOD tariff implementation for residential customers too.
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Kinhekar et al. (2013) studied this question.
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