Convex Hull for Self-Scheduling Energy-Intensive Enterprises With Demand Response Regulations

Abstract

The self-scheduling energy-intensive enterprise (EIE) has great potential to participate in demand response (DR) regulations. However, the multi-period self-scheduling model with the DR will bring computational burdens, since there are lots of binary decision variables. To address this challenge, this paper proposes a convex hull model for the self-scheduling model with the DR. Specifically, it presents the self-scheduling model of EIE as an integer programming (IP) model, then transforms this IP model into a dynamic programming (DP) model, and finally reformulates this DP model into a linear programming (LP) model. Furthermore, the proposed LP model is theoretically proved to be the convex hull of the self-scheduling EIE with the DR. Moreover, the benefits of the convex hull model are discussed, and extensive numerical experiments are carried out to demonstrate the excellent performance and efficiency of the convex hull model.