A comprehensive decision model for optimal demand response program

In this paper, demand response (DR) is modeled based on price elasticity and customer benefit function. A comprehensive decision model for DR based on Multiple Attribute Decision Making (MADM) techniques is proposed to extract the priorities of DR programs and select the most effective program. The proposed model includes the determination of attribute set, calculation of attribute weight and comprehensive evaluation of the alternatives. As for the attribute set, two new attributes, namely the electricity consumption manner satisfaction index and electricity cost expenditure satisfaction index, are introduced to consider customer´s satisfaction. Besides, a combination weighting method is adopted to determine the weights of attributes. To prioritize DR programs, a new sorting method which combines Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) with Gray Correlation Analysis (GCA) is proposed to overcome the decision bias due to the limited information in the decision approach. The performance of the proposed decision model is evaluated on a modified IEEE 118-bus system.