Demand Response Contextual Remuneration of Prosumers with Distributed Storage

Area of Science:

• Energy Systems Engineering
• Smart Grids
• Demand-Side Management

Background:

• Prosumers are increasingly vital in power markets, offering load flexibility to integrate distributed generation.
• Managing volatile energy production and engaging consumers in demand response are key challenges.
• Fair compensation for prosumers' comfort loss during demand response is essential.

Purpose of the Study:

• To develop and evaluate a methodology for optimal management of energy communities.
• To focus on fair remuneration strategies for community members providing flexibility.
• To compare different remuneration approaches considering contextual tariffs.

Main Methods:

• Proposing a methodology for optimal community management.
• Evaluating four different remuneration approaches.
• Analyzing results based on contextual tariffs and case studies.

Main Results:

• The proposed methodology improved the fairness of remuneration for prosumers.
• A single fair remuneration approach benefited the community manager with lower overall costs.
• A clustering method for prosumers resulted in higher remuneration for flexibility provided.

Conclusions:

• Fair remuneration is crucial for incentivizing prosumer participation and compensating for comfort loss.
• Clustering methods offer a more advantageous remuneration strategy for prosumers.
• Optimal community management requires balancing economic efficiency with equitable compensation.