A demand response strategy for air compressors network with optimal production and energy utilisation

Abstract

This study proposes a novel approach that integrates demand response strategy with operational scheduling to investigate the process flexibility in the operational performance under time-sensitive electricity tariffs and to provide cost-benefit analysis to industrial consumers. The proposed approach focused on implementing a demand response strategy with integrated process flexibilities at the supply side, storage and demand side in a case study of scheduling for an industrial network of compressors for Time of Use and Enhanced Time of Use energy tariff. The optimisation framework was developed as a mixed-integer linear programming model. The implementation of the demand response strategy resulted in a total cost reduction of between 5 and 13%. Furthermore, a considerable cost saving was shown to be achievable for the Enhanced Time of Use energy tariff since it offers an extensive off-peak time zone during the night hours and on the weekend. It is concluded that the study highlights the operational performance goal of achieving cost savings by implementing a demand response strategy for energy industries.

Graphical Abstract