Two hierarchy (home and local) smart grid optimization by using demand response scheduling

A smart grid is an improved electrical grid that is intended to optimize the use of the energy in an existing grid. Among smart grid technologies, the demand response is the key technology which differs from today´s grid system. In this paper, we propose a home and neighborhood smart grid optimization scheme that uses an advanced demand response scheduling. We propose the optimization of the demand response scheduling scheme based on the priority factor for each load as well as the localized energy storage levels in each multi-agent system. We propose a mathematical formation of home-energy optimizing scheduling via a goal function. Also, we suggest to share energy between the multiple-agents in order to provide bi-directional power flow between multiple agents using the battery state of charge. The proposed optimization method will advance the multi-agent system optimization of smart grid demand response scheduling.