Optimization of Thermostatically Controlled Appliances to Minimize Energy Consumption Cost Based on Real-Time Pricing

Abstract

An optimization model for residential users to minimize power consumption cost using real-time pricing is proposed in this paper. This model chooses the thermostatically controlled appliances (TCA) which consume the most power in the residential area. This scheme targets the residential area rather than the industrial area because the latter has interdependent tasks difficult to isolate. The proposed model automatically adjusts the TCA according to dynamic pricing and customer demand. Constrains like customer preferences, power consumption, dynamics of appliances, real-time pricing is taken into consideration. Simulation of the optimization scheme is done in the MATLAB platform. The model can successfully optimize the power consumption cost keeping customer comfort in mind.