A PEM-based augmented IBDR framework and its evaluation in contemporary distribution systems.

Demand response (DR) is an attractive concept that invites customers' active participation in the distribution sector by means of price elasticity of demand (PED). It not only enhances customers' demand sensitivity but also improves technicalities and economics related to both the utility and demand sides. This paper emphasizes the combined effect of price-based DR (PBDR) and incentive-based DR (IBDR) with the inclusion of PED. The elasticity phenomenon, when applied with incentives as in IBDR, changes the demand-consumption pattern as compared to individual DR. Moreover, the demand variation due to only incentives leads to incentive elasticity, which needs to be studied carefully; then only the impact of individual DR and augmented DR (PBDR and IBDR combined) can be understood analytically. In this work, IBDR models are tested on considered pricing schemes along with a new proposed pricing scheme to evaluate the systems' technical and economical parameters. A standard IEEE 33 bus distribution system has been chosen for the assessment of suggested models and to compare them to the existing ones. Furthermore, these models are descriptively evaluated from both the utility and consumer perspectives. • An augmented IBDR structure combining the effect of incentive with elasticity is proposed. • It offers a thorough analytically enhanced DR framework to distinguish elasticity based on price and incentive term. • The proposed augmented IBDR model is evaluated critically under various suggested and current pricing schemes. • The technical and economic analysis of DR is examined from the utility's and the customer's points of view. [ABSTRACT FROM AUTHOR]