Demand Response and Ancillary Service Management Using Fractional-Order Integral Indicator and Dynamic Game Model for an Aggregator Program in Smart Grids

To avoid penalties on over-contract demand, electricity customers can adopt a demand response strategy to shift or reduce demands from main grid during peak periods or partial peak periods. The direct or indirect load control is a common strategy used to change operational conditions with or without incentive / contractual strategies. The time-of-use and real-time pricing in addition to incentive services can encourage customers to change their preferences, further reducing demands during contractual periods. Therefore, ancillary services can manage and dispatch ancillary power, such as renewable energy, stored energy, and onsite generation, to reduce expensive power generation from main grid and to meet the customers’ extra demands in smart grids. The fractional-order integral operation is used to calculate the area under the curve for evaluating power consumption at a scheduled timing interval of 15min / 1hour and identify demand levels. The dynamic game model is employed to dispatch the available distributed generations to meet the customers’ extra demands. For an aggregator program, results will show that the proposed method can reduce the demand from the main grid and increase system flexibility to activate the active-duty distributed generations. Benefits for billing charges may arise.