Coordinated energy scheduling for residential households in the smart grid

In this paper, we investigate the minimization of the total energy cost of multiple residential households in a smart grid neighborhood sharing a load serving entity. Specifically, each household may have renewable generation, energy storage as well as inelastic and elastic energy loads, and the load serving entity attempts to schedule the energy consumption of these households. To minimize the total energy cost in this neighborhood, we propose an online algorithm, called Lyapunov-based cost minimization algorithm (LCMA), which jointly considers the energy management and demand response decisions. We prove that LCMA can achieve close-to-optimal performance and is robust to the uncertainty of system dynamics. Numerical results based on the real-world trace data show its cost saving effectiveness.