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Item Price Elasticity is used to quantify the responsiveness of consumer demand to changes in item prices, enabling businesses to create pricing strategies and optimize revenue management. Sectors such as store retail, e-commerce, and…

Machine Learning · Computer Science 2026-05-12 Lakshya Garg , Sai Yaswanth , Deep Narayan Mishra , Karthik Kumaran , Anupriya Sharma , Mayank Uniyal

Demand response (DR) refers to change in electricity consumption pattern of customers during on-peak hours in lieu of financial gains to reduce stress on distribution systems. Existing dynamic price models have not provided adequate success…

Systems and Control · Electrical Eng. & Systems 2021-05-24 Rayees A. Thokar , Nikhil Gupta , K. R. Niazi , Anil Swarnkar , Nand K. Meena

The widespread deployment of Advanced Metering Infrastructure has made granular data of residential electricity consumption available on a large scale. Smart meters enable a two way communication between residential customers and utilities.…

Systems and Control · Computer Science 2016-08-15 Datong Zhou , Maximilian Balandat , Claire Tomlin

Residential customers have traditionally not been treated as individual entities due to the high volatility in residential consumption patterns as well as a historic focus on aggregated loads from the utility and system feeder perspective.…

Demand-side response programs which also called Demand Response (DR) are interesting ways to attract consumers' participation in order to improve electric consumption patterns. DR programs motivate customers to change consumption patterns…

Physics and Society · Physics 2021-11-29 Mohammadreza Shekari , Hamidreza Arasteh , Alireza Sheikhi Fini , Vahid Vahidinasab

One of the major issues with the integration of renewable energy sources into the power grid is the increased uncertainty and variability that they bring. If this uncertainty is not sufficiently addressed, it will limit the further…

Optimization and Control · Mathematics 2017-05-15 Joshua Comden , Zhenhua Liu , Yue Zhao

The rapid proliferation of distributed energy resources (DERs) and the electrification of residential loads offer significant potential for grid flexibility but pose stability challenges under static pricing regimes. Specifically, high…

Optimization and Control · Mathematics 2026-05-11 Xinyang Zhou , Jing Shang , Andrey Bernstein , Stefan Wager , Moody Saleh , Lara Pierpoint

Residential Demand Response has emerged as a viable tool to alleviate supply and demand imbalances of electricity, particularly during times when the electric grid is strained due a shortage of supply. Demand Response providers bid…

Computer Science and Game Theory · Computer Science 2017-09-05 Datong P. Zhou , Maximilian Balandat , Munther A. Dahleh , Claire J. Tomlin

To respond to volatility and congestion in the power grid, demand response (DR) mechanisms allow for shaping the load compared to a base load profile. When tapping on a large population of heterogeneous appliances as a DR resource, the…

Systems and Control · Computer Science 2014-04-09 Mahnoosh Alizadeh , Anna Scaglione , Andy Applebaum , George Kesidis , Karl Levitt

In the Smart Grid environment, the advent of intelligent measuring devices facilitates monitoring appliance electricity consumption. This data can be used in applying Demand Response (DR) in residential houses through data analytics, and…

Signal Processing · Electrical Eng. & Systems 2020-08-10 Abdelkareem Jaradat , Hanan Lutfiyya , Anwar Haque

In this paper, we propose a realistic multiple dynamic pricing approach to demand response in the retail market. First, an adaptive clustering-based customer segmentation framework is proposed to categorize customers into different groups…

Systems and Control · Electrical Eng. & Systems 2021-06-11 Fanlin Meng , Qian Ma , Zixu Liu , Xiao-Jun Zeng

There is an opportunity in modern power systems to explore the demand flexibility by incentivizing consumers with dynamic prices. In this paper, we quantify demand flexibility using an efficient tool called time-varying elasticity, whose…

Machine Learning · Computer Science 2022-02-03 Guangchun Ruan , Daniel S. Kirschen , Haiwang Zhong , Qing Xia , Chongqing Kang

This two-part paper addresses the design of retail electricity tariffs for distribution systems with distributed energy resources such as solar power and storage. In particular, the optimal design of dynamic two-part tariffs for a regulated…

Optimization and Control · Mathematics 2017-02-08 Daniel Munoz-Alvarez , Lang Tong

The performance of an energy system under a real-time pricing mechanism depends on the consumption behavior of its customers, which involves uncertainties. In this paper, we consider a system operator that charges its customers with a…

Systems and Control · Computer Science 2016-11-17 Ceyhun Eksin , Hakan Delic , Alejandro Ribeiro

The conventional practice of retail electric utilities is to aggregate customers geographically. The utility purchases electricity for its customers via bulk transactions on the wholesale market, and it passes these costs along to its…

Optimization and Control · Mathematics 2017-08-08 Siddharth Patel , Raffi Sevlian , Baosen Zhang , Ram Rajagopal

The problem of dynamic pricing of electricity in a retail market is considered. A Stackelberg game is used to model interactions between a retailer and its customers; the retailer sets the day-ahead hourly price of electricity and consumers…

Optimization and Control · Mathematics 2016-03-01 Liyan Jia , Lang Tong

This paper presents a dynamic pricing and energy management framework for electric vehicle (EV) charging service providers. To set the charging prices, the service providers faces three uncertainties: the volatility of wholesale electricity…

Signal Processing · Electrical Eng. & Systems 2018-01-10 Chao Luo , Yih-Fang Huang , Vijay Gupta

In electricity markets, retailers or brokers want to maximize profits by allocating tariff profiles to end consumers. One of the objectives of such demand response management is to incentivize the consumers to adjust their consumption so…

Machine Learning · Computer Science 2022-02-14 Jyoti Narwariya , Chetan Verma , Pankaj Malhotra , Lovekesh Vig , Easwara Subramanian , Sanjay Bhat

Demand Response (DR) has a widely recognized potential for improving grid stability and reliability while reducing customers energy bills. However, the conventional DR techniques come with several shortcomings, such as inability to handle…

Systems and Control · Electrical Eng. & Systems 2020-09-24 Amin Shojaeighadikolaei , Arman Ghasemi , Kailani R. Jones , Alexandru G. Bardas , Morteza Hashemi , Reza Ahmadi

Further electrification of the economy is expected to sharpen ramp rates and increase peak loads. Flexibility from the demand side, which new technologies might facilitate, can help these operational challenges. Electric utilities have…

Systems and Control · Electrical Eng. & Systems 2025-07-10 Lane D. Smith , Daniel S. Kirschen