Demand bidding vs. demand response for industrial electrical loads
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Thermal demand for heating and cooling has been predominantly supplied by fossil fuel combustion in the United States, although low-carbon alternatives are extensively available including geothermal, solar thermal, and waste heat. Here, this study analyzed end-use energy consumption, fuel expenditure, and data center commissioned power data to geospatially characterize the U.S. low-temperature heating and cooling demand at the county level in residential, commercial, manufacturing, agricultural, and data center sectors and understand potential opportunities for geothermal applications. In the analysis, the regional-scale energy consumption data was incorporated with system efficiencies to address actual demand and was then disaggregated with weighting factors to the county level. The results indicated that total low-temperature heating and cooling demand is 16.7 EJ, combining heating demand of 10.8 EJ and cooling demand of 5.9 EJ. Overall, 59.9 % (10 EJ) of the low-temperature heating and cooling demand occurred in the residential sector. The heating and cooling demand visualized in maps represented that the geospatial distribution of heating and cooling demand in the residential and commercial sectors is governed by the number of housing units and climate zone designations, while heating and cooling demand in the manufacturing, agricultural, and data center sectors is dependent on the number and location of facilities. The results also demonstrated that geothermal heat pumps are broadly used in the residential and commercial sectors for heating and cooling in the U.S. Midwest, South, and Northeast regions but are limited in the West, implying great decarbonization potential in the future.
Owing to the global lockdowns that resulted from the COVID-19 pandemic, fuel demand plummeted and the price of oil futures went negative in April 2020. Robust fuel demand projections are crucial to economic and energy planning and policy discussions. Here we incorporate pandemic projections and people's resulting travel and trip activities and fuel usage in a machine-learning-based model to project the US medium-term gasoline demand and study the impact of government intervention. We found that under the reference infection scenario, the US gasoline demand grows slowly after a quick rebound in May, and is unlikely to fully recover prior to October 2020. Under the reference and pessimistic scenario, continual lockdown (no reopening) could worsen the motor gasoline demand temporarily, but it helps the demand recover to a normal level quicker. Under the optimistic infection scenario, gasoline demand will recover close to the non-pandemic level by October 2020. The COVID 19 pandemic and consequent lockdown has had a substantial impact on mobility and therefore fuel demand and it is not clear when demand will recover. Ou et al. use a machine learning model that integrates health recovery scenarios to project the near-term future of gasoline demand.
Transactive coordination and control is a new type of distributed strategy that is designed to engage various self-interested distributed energy resources such as controllable loads, distributed generators, and energy storage for providing demand response. In this paper, a novel transactive control design is proposed for commercial buildings to coordinate the electricity demand of the package rooftop air conditioning units (RTUs) for demand response. Such a coordination is realized by introducing a local relationship between the temperature setpoint and the market clearing price. With the proposed market-based control, the demand of individual RTUs is adjusted by changing their temperature setpoints as a response to the market clearing prices. Two dierent scenarios of demand response are considered herein. One is to limit the peak demand of commercial buildings, in which a new market clearing strategy based on proportionalintegral- derivative control with respect to the demand limit is proposed. The other one is to perform price responsive control, in which the total demand of commercial buildings will respond to the real-time pricing. The proposed transactive strategy is also tested and demonstrated on a real occupied building located at Pacic Northwest National Laboratory. The eld testing results conrm the eectiveness of the proposed transactive coordination and control for commercial building with RTUs to provide demand response.
Understanding household peak electricity demand is critical to evaluate the technical need for electrical infrastructure upgrades. This study characterizes peak loads for existing and new equipment using metered data from a convenience sample of 11,940 U.S. dwellings from four sources, including 911 from two sources with end-use metering. After standardized data cleaning and labeling, we derived descriptive statistics for key metrics, such as maximum demand and demand factors, and developed predictive models relating 60- to 15-min demand for the National Electrical Code (NEC). Mean 15-min maximum demand was 9.7 kW (median 9.0 kW; IQR 7.0–11.5 kW, 95% CI 9.6–9.8 kW), indicating spare capacity in 98% of homes with hypothetical 100 A panels. Maximum demand increased with floor area and number of high-demand loads. Dwelling maximum demand was driven by higher-power, longer-duration heating appliances and vehicle charging, while most user-operated appliances contributed little. Demand factors are used to account for how most devices contribute less than their rated power to maximum demand. Existing load mean demand factors (28%; median 10%; IQR 0–58%; CI 28–29%) were higher than those for new loads (21%; median 7%; IQR 0–35%; CI 20–21%), because new loads changed the timing and magnitude of maximum demand. New high-demand loads had higher than average demand factors (40–60%). Whole dwelling demand factors support the NEC's 40% assumption, but they challenge its conservative 100% treatment of new HVAC. We propose a data-driven 50% demand factor for new equipment, which would align with metered data, improve affordability, and modernize electrical codes.
This paper develops and assesses the performance of a short-term demand response (DR) model for utility load control with applications to resource planning and control design. Long term response models tend to underestimate short-term demand response when induced by prices. This has two important consequences. First, planning studies tend to undervalue DR and often overlook its benefits in utility demand management program development. Second, when DR is not overlooked, the open-loop DR control gain estimate may be too low. This can result in overuse of load resources, control instability and excessive price volatility. Our objective is therefore to develop a more accurate and better performing short-term demand response model. We construct the model from first principles about the nature of thermostatic load control and show that the resulting formulation corresponds exactly to the Random Utility Model employed in economics to study consumer choice. The model is tested against empirical data collected from field demonstration projects and is shown to perform better than alternative models commonly used to forecast demand in normal operating conditions. The results suggest that (1) existing utility tariffs appear to be inadequate to incentivize demand response, particularly in the presence of high renewables, and (2) existing load control systems run the risk of becoming unstable if utilities close the loop on real-time prices.
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Nearly 30% of commercial building energy use is wasted due to equipment faults and HVAC controls problems. The result is increased emissions, compromised comfort and productivity, and less reliable coordination of building power needs with a clean grid. The energy impact alone represents $17 billion in potential savings. Today’s smart building software provides a robust solution to address these operational deficiencies. Energy management and information systems (EMIS) are saving up to 9% on average, with two-year paybacks. They are being incorporated into energy management processes, commissioning services, and utility programs. As effective as they are, two barriers prevent even deeper benefits; limited personnel to fix problems once they are identified, and the expense and time to manually implement changes in control systems. In partnership with the research community, the EMIS industry is developing new capabilities to overcome these barriers. Moving beyond siloed products for either fault detection and diagnostics, or optimal control, these new capabilities empower users to not only automatically identify faults, but also to push corrective action, and control improvements to their buildings. In this paper, several areas for enhancements are documented: ‘one-time’ correction of faults such as setpoints, schedules, and economizer lockouts; short-term active testing for automated proportional integral derivative (PID) loop tuning and functional testing; and continuous supervisory control for demand flexibility and year-round efficiency. Results are presented from a pair of partner implementations out of a dozen providers integrating these enhancements into their products, including field tests from across the country, and insights into operator acceptance and integration into operations and maintenance practices.
This work focuses on using variations of the Frank-Wolfe (FW) algorithm for solving unit commitment problems with high volumes of demand responsive loads on the power grid. We present a formulation of the unit commitment problem with demand responsive loads. We then show through reformulation and relaxations of the problem that variations of the Frank-Wolfe algorithm can be used to determine the time series decisions for the demand responsive loads. We show through computational experiments on the IEEE Reliability Test System that the timeseries of demand responsive load decisions obtained through our approach are near optimal and describe how large-scale parallel implementations of our approach can be highly computationally efficient.
Demand for agricultural products is an important problem in climate change economics. Food consumption will shape and shaped by climate change and emissions mitigation policies through interactions with bioenergy and afforestation, two critical issues in meeting international climate goals such as two-degrees. We develop a model of food demand for staple and nonstaple commodities that evolves with changing incomes and prices. The model addresses a long-standing issue in estimating food demands, the evolution of demand relationships across large changes in income and prices. We discuss the model, some of its properties and limitations. We estimate parameter values using pooled cross-sectional-time-series observations and the Metropolis Monte Carlo method and cross-validate the model by estimating parameters using a subset of the observations and test its ability to project into the unused observations. Finally, we apply bias correction techniques borrowed from the climate-modeling community and report results.
This presentation demonstrates a significant analysis, on forecasting the demand for distribution transformers. The analysis is conducted for the United States, estimating the initial in-service capacity of these assets, and forecasting demand for these assets through 2050 with several sensitivities conducted. It examines not only demand for these assets, but importantly, how utility planning practices can impact the demand for theses assets in time. Under load growth scenarios, whether utilities practice like-for-like replacement strategies as failures occur, or whether they practice proactive up-sizing, anticipating electric load growth, can have major impacts on future demand. It also examines several other growth factors, such as the increasing demand for step-up transformers, which share many of the same characteristics as distribution transformers, and the demand for specific transformers for large project growth from data centers.
Peak demand on electricity grids is a growing problem that increases costs and risks to supply security. Residential sector loads often contribute significantly to seasonal and daily peak demand. Demand response refers to consumer actions that change the utility load profile in a way that reduces costs or improves grid security by applying price signals and automated load shedding technologies. The methodologies that are used to achieve demand response can hardly be applicable in developing countries. Peak pricing of electricity, for instance, can hardly be implemented in many developing countries as high prices would disproportionately affect the many low-income households who do not have the capacity to take action to avoid paying high peak prices. This study aims to develop demand response methodology that can be applied in developing countries to achieve residential peak demand reduction. We use a consumer preference survey to develop a methodology suitable for developing countries. The method of diversified demand is used with energy audit and monitored data to estimate the potential peak load reduction and its cost-effectiveness for Ghana. Results show that peak reduction of 15-210 MW is expected by 2040 with a positive return on investment of 2-22% for all designed scenarios.
This paper presents a smart charge management strategy for an on-demand electric shuttle operating at the National Renewable Energy Laboratory (NREL) campus and supported by an inductive charger at the vehicle's waiting spot. A new control algorithm has been proposed for mitigating the demand charges incurred from the wireless charger. It monitors the shuttle, wireless charger, renewable energy generation, and other loads and regulates charging behavior for demand charge mitigation. Within the control algorithm, an energy prediction is made to estimate the mobility needs of the vehicle and maintain uninterrupted service during operation while still minimizing peak demand. The proposed controller is designed and optimized using a Simulink model for the entire system. It is then implemented and tested in real time at the NREL campus using online cloud services. Two vehicle-use cases' charge-sustaining and charge-depletion operation' are tested under different campus power profiles and drive cycles to assess the controller's performance. In this work, the proposed controller showed a robust performance under different driving scenarios, with high correlation between simulation and experimental data. The results show that proper demand response can be achieved, with an average of 94% reduction of charging loads during peak demand events.
The active participation of demand-side flexible resources in the wholesale market price formation and load dispatch process is crucial to encouraging demand-side participation. This calls for a joint supply-demand coordination mechanism to fully take advantage of the flexible resources in distribution systems, including distributed energy resources (DERs) and responsive loads (RLs). Here this paper aims at comparing and evaluating the centralized and transactive distribution-level market coordination mechanisms. We introduce the centralized and transactive demand-supply coordination mechanisms for the distribution-level market and elaborate on the structural difference between the two frameworks. Relevant metrics and test scenarios are proposed for a meaningful comparison. The key observations of the comparative study are generalized from the perspective of different entities in the market: fixed loads, flexible loads, DERs, and conventional generators. It is observed that while the centralized approach leads to socially optimum solutions, the transactive approach by allowing for competitive bidding at the distribution-level, results in clearing higher flexible demand, and thus higher electricity cost at the transmission-level. As a result, DERs and fixed loads receive a higher surplus in the centralized approach, while conventional generators and flexible loads are more profitable in the transactive approach.
We present a learning-based, demand-supply-coupled optimization model for the charging station location problem (CSLP), aiming to integrate the concept of electric vehicle (EV) charging demand management into the planning of charging infrastructures. In stage one, a gradient boosting-based learning model is developed to predict the charging demand of a charging station based on 15 defined features. Next, in stage two, a demand–supply-coupled CSLP model is developed to optimize the total charging usage rates of both existing and newly selected charging stations. We design a gradient-based stochastic spatial search algorithm to solve the proposed model. A case study with 6-year charging event data from Kansas City Missouri is performed. Results show that the proposed method can generate satisfactory charging demand predictions, and can increase charging usage rates by 14%, outperforming two benchmark approaches. Furthermore, the results of this research are poised to guide agencies in identifying optimal locations for new charging stations.
Environmental concerns and depletion of traditional energy lead to the booming development of renewable distributed generation (RDG) in the past decade. However, due to intermittent nature of renewable energy sources, to what extent RDG could provide capacity to power systems becomes a critical issue to the utility company when implementing long-term system strategic (generation expansion) planning. On the other hand, in a smart-grid frame, the popularization of different varieties of demand-side resources enables the system to operate at more flexible modes ever before. The potential variability in load demand not only introduces additional dynamics and uncertainties to the system, but could also affect the reliability benefits of RDG. Therefore, in practice, to effectively estimate the reliability value of RDG in power systems, the potential interaction between generation- and demand-side must be properly captured. In this paper, a study to assess the capacity credit (CC) of RDG in a context of distributed generation system is performed with consideration of the impacts of demand response (DR). A compound reliability model for DR is presented, which considers the uncertainties involved in both instant response and follow-on load recovery processes. On this basis, an assessment framework for the CC of RDG based on sequential Monte Carlo simulation is developed by which the inter-temporal characteristics of DR resources can be fully captured. The numerical study is implemented based on the IEEE-38 bus test case. The calculation results demonstrate that the CC of RDG would depend on a variety of factors, including penetration level, responsiveness of load demand and the correlations between RDG and DR availability. Also, it is shown that accounting for the underlying effect of DR is of absolute importance, otherwise the CC of RDG might be estimated erroneously in real practices.
Refrigerator technology has advanced significantly over the last couple of decades. Today’s refrigerators use only about 25% of the energy that was required to power models built in 1975. Even as they continually improve efficiency to meet standards, refrigerators have increased in size by almost 20%, added energy-consuming features such as through-the-door ice, and provide more benefits than ever before. However, a few challenges and technology gaps are preventing further improvement of the demand responsiveness and efficiency of the refrigerators. One of the major technology gaps in existing refrigerators is their outdated de-icing process. When the evaporator generates frost, an old-fashioned resistive heating element melts the ice. Most refrigerators have a timed defrost cycle, rather than an active system that could monitor the state of the frost. In these systems, not only is the precious electricity used at its least efficient form of conversion (direct conversion of electricity to heat), but also all the latent heat associated with the ice is wasted during the melting process. On top of that, the refrigerator needs to work harder to pull the temperature down after defrosting, and, last but not least, the food quality is severely impacted by the temperature swings during the defrost cycle. According to a study, the EU alone wastes 89 million tons of food in the supply chain every year. Any temperature swing during defrosting (about 6F according to Emerson for low-temperature cases) can negatively impact the shelf life of meat and other products for multiple days. All these issues can happen during the peak demand time of the electric grid. Unlike the conventional systems, the proposed novel advanced micro-vibrational deicing process uses no heat for defrosting. Instead, it uses the micro vibrations generated by a piezoelectric or vibration-generating module to mechanically break ice from the heat exchanger almost instantaneously. The project titled “Higher Efficiency, Demand Flexible Refrigerator with On-Demand Micro-Vibrational De-icing Technology, performed by Ultrasonic Technology Solutions, LLC (UTS) of Knoxville, TN, in collaboration with Emerson (now Copeland), represents the final phase of a multi-year effort funded under the U.S. Department of Energy’s Building Technologies Office (BTO) BENEFIT FOA 2020. Initiated on October 1, 2021, and completed after a nine-month no-cost extension ending September 30, 2025, this project aimed to develop and validate a novel micro-vibrational mechanical defrosting system, achieving more than 25% improvement in defrosting energy efficiency over conventional baseline defrosting technologies. Over sixteen quarters, the project advanced from fundamental ice-mechanical characterization and prototype development to full-scale system integration and validation. Initial efforts established project management infrastructure and characterized ice adhesion properties, followed by the design and fabrication of early aluminum-based prototypes for resonance frequency testing. Subsequent quarters saw rapid technical progression, including the identification of optimal piezoelectric and motor-based vibration mechanisms, the demonstration of effective de-icing over 6x6-inch aluminum surfaces. The team achieved its Go/No-Go milestone by exceeding the 25% energy-efficiency improvement target—reaching up to 3,340% under optimized conditions—and later confirmed that motor-driven systems offered superior performance and energy efficiency compared to piezoelectric alternatives. Continued refinement led to the development of amplifier systems on printed circuit boards, improved control and instrumentation hardware, and integration into full-scale heat exchanger (HX) prototypes at both UTS and Copeland facilities. Multiple vibration-mounting studies and frost-growth experiments guided mechanical optimization and noise-mitigation strategies, achieving a 17.5 dB reduction in sound pressure level and verifying robust mechanical performance. Advanced analyses, including modal and harmonic simulations, established a quantitative understanding of vibrational behavior and de-icing efficiency across >1000 cm² systems. The final project phase successfully demonstrated scalable integration within reach-in and chest freezer prototypes, confirmed >25% efficiency improvements in large-area systems, and completed a comprehensive business model and scale-up strategy identifying electric defrost systems as the primary beachhead market. The culmination of this DOE-supported effort establishes micro-vibrational defrosting as a viable, high-efficiency, low-noise, and demand-flexible de-icing technology, paving the way for commercial deployment and broader application in next-generation refrigeration systems.