Demand Response for Radial Residential Microgrid: Mixed-Term Framework and Data-Driven Method

Demand response (DR) plays a crucial role in ensuring the reliability of the microgrid with renewable energy sources. Real-time pricing (RTP) is recognized as a state-of-the-art DR solution for managing renewable generation. However, different from DR methods deployed in the day-ahead market, RTP methods are deployed in the real-time market, leading to a new challenge in managing volatile demands. To address this challenge, we propose a mixed-term framework that integrates the day-ahead market with the real-time market. Then, we develop a data-driven method for participants in the mixed-term framework to maximize their profits. In what follows, we formulate the consumer response in this framework as a game and prove the unique Nash equilibrium. Finally, we evaluate the proposed framework and the associated data-driven method on the IEEE 13-bus and IEEE 37-bus feeders, respectively. The results demonstrate improved performance in both peak-to-average ratio and variance compared to conventional real-time pricing approaches across the majority of scenarios.