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We consider an outsourcing problem where a software agent procures multiple services from providers with uncertain reliabilities to complete a computational task before a strict deadline. The service consumer requires a procurement strategy…

Computer Science and Game Theory · Computer Science 2021-10-26 Farzaneh Farhadi , Maria Chli , Nicholas R. Jennings

This paper presents a decentralized Multi-Agent Reinforcement Learning (MARL) approach to an incentive-based Demand Response (DR) program, which aims to maintain the capacity limits of the electricity grid and prevent grid congestion by…

Systems and Control · Electrical Eng. & Systems 2023-04-11 Jasper van Tilburg , Luciano C. Siebert , Jochen L. Cremer

We study the problem of demand response contracts in electricity markets by quantifying the impact of considering a mean-field of consumers, whose consumption is impacted by a common noise. We formulate the problem as a Principal-Agent…

Probability · Mathematics 2020-03-25 Romuald Elie , Emma Hubert , Thibaut Mastrolia , Dylan Possamaï

One of the widely used peak reduction methods in smart grids is demand response, where one analyzes the shift in customers' (agents') usage patterns in response to the signal from the distribution company. Often, these signals are in the…

Machine Learning · Computer Science 2023-02-27 Sanjay Chandlekar , Arthik Boroju , Shweta Jain , Sujit Gujar

This work studies synergies arising from combining industrial demand response and local renewable electricity supply. To this end, we optimize the design of a local electricity generation and storage system with an integrated demand…

Optimization and Control · Mathematics 2024-03-07 Sonja H. M. Germscheid , Benedikt Nilges , Niklas von der Assen , Alexander Mitsos , Manuel Dahmen

We analyze how firms should design wage contracts when workers collaborate in teams and effort costs depend on colleagues through a peer network. Performance-based compensation generates incentives that cascade through the organization,…

Theoretical Economics · Economics 2026-04-17 Marc Claveria-Mayol , Pau Milán , Nicolás Oviedo-Dávila

Motivated by the recent popularity of machine learning training services, we introduce a contract design problem in which a provider sells a service that results in an outcome of uncertain quality for the buyer. The seller has a set of…

Computer Science and Game Theory · Computer Science 2026-05-06 Krishnamurthy Iyer , Alec Sun , Haifeng Xu , You Zu

Demand-responsive connector (DRC) services are increasingly recognized for their convenience, comfort, and efficiency, offering seamless integrations between travelers' origins/destinations and major transportation hubs such as rail…

Systems and Control · Electrical Eng. & Systems 2024-10-29 Li Zhen , Weihua Gu

This paper studies the optimal control of a commercial building's thermostatic load during off-peak hours as an ancillary service to the transmission system operator of a power grid. It provides an algorithmic framework which commercial…

Optimization and Control · Mathematics 2018-06-06 Randall Martyr , John Moriarty , Christian Beck

Demand response (DR) for smart grids, which intends to balance the required power demand with the available supply resources, has been gaining widespread attention. The growing demand for electricity has presented new opportunities for…

Systems and Control · Electrical Eng. & Systems 2020-07-24 Haider Tarish Haider , Ong Hang See , W. Elmenreich

We study the role of regulatory inspections in a contract design problem in which a principal interacts separately with multiple agents. Each agent's hidden action includes a dimension that determines whether they undertake an extra costly…

Computer Science and Game Theory · Computer Science 2023-11-07 Alireza Fallah , Michael I. Jordan

A central challenge in using price signals to coordinate the electricity consumption of a group of users is the operator's lack of knowledge of the users due to privacy concerns. In this paper, we develop a two-time-scale incentive…

Computer Science and Game Theory · Computer Science 2024-04-01 Jiayi Li , Matthew Motoki , Baosen Zhang

Recently there have been several historical changes in electricity networks that necessitate the development of Demand Side Management (DSM). The main objective of DSM is to achieve an aggregated consumption pattern that is efficient in…

Computer Science and Game Theory · Computer Science 2019-02-26 Georgios Tsaousoglou , Konstantinos Steriotis , Nikolaos Efthymiopoulos , Konstantinos Smpoukis , Emmanouel Varvarigos

Residential demand response depends on sustained prosumer participation, yet existing coordination is either fully automated, or limited to one-way dispatch signals and price alerts that offer little possibility for informed…

Artificial Intelligence · Computer Science 2026-03-09 Reda El Makroum , Sebastian Zwickl-Bernhard , Lukas Kranzl , Hans Auer

Demand response (DR) programs play a crucial role in improving system reliability and mitigating price volatility by altering the core profile of electricity consumption. This paper proposes a game-theoretical model that captures the…

General Economics · Economics 2024-11-26 Arega Getaneh Abate , Rosana Riccardi , Carlos Ruiz

The increasing integration of distributed energy resources (DERs) into power systems presents opportunities and challenges for ancillary services (AS) provision. Technical requirements of existing AS (i.e., duration, reliability, ramp rate,…

Systems and Control · Electrical Eng. & Systems 2025-10-08 Lorenzo Zapparoli , Blazhe Gjorgiev , Giovanni Sansavini

Fixed pickup and delivery times can strongly limit the performance of freight transportation. Against this backdrop, fleet operators can use compensation mechanisms such as monetary incentives to buy delay time from their customers, in…

Systems and Control · Electrical Eng. & Systems 2022-03-28 Canqi Yao , Shibo Chen , Mauro Salazar , Zaiyue Yang

We consider the problem of identifying the most profitable product design from a finite set of candidates under unknown consumer preference. A standard approach to this problem follows a two-step strategy: First, estimate the preference of…

Machine Learning · Statistics 2017-01-06 Max Yi Ren , Clayton Scott

The dynamic pricing of electricity is one of the most crucial demand response (DR) strategies in smart grid, where the utility company typically adjust electricity prices to influence user electricity demand. This paper models the…

Optimization and Control · Mathematics 2024-07-16 Jiangjiang Cheng , Ge Chen , Zhouming Wu , Yifen Mu

Most demand management approaches with non-mandatory policies assume full users' cooperation, which may not be the case given users' beliefs, needs and preferences. In this paper we propose a mechanism for demand management including…

Computer Science and Game Theory · Computer Science 2017-10-30 Mateo Alejandro Cortés Guzmán , Eduardo Mojica-Nava