Effective dynamic tariffs for price-based Demand Side Management with grid-connected PV systems

In isolated electricity networks the penetration of renewable energy sources offers, among others, the advantage of distributed electricity. At the same time, as penetration levels increase, controls and regulations need to be imposed in order to alleviate rising grid integration issues. Some of these can be prevented through the use of dynamic tariffs enabling Demand Side Management. In this work, a new tool for the optimization of dynamic tariffs is developed. This is based on statistical analysis of the consumption profiles and optimization procedures, aiming to derive the most appropriate Time-of-Use (ToU) tariffs. The consumption profile analysis performed on three hundred prosumers in Cyprus showed strong correlation between the measured and the average consumption profiles while the self-consumption rate of existing prosumers is averaged to 30%. The developed dynamic ToU blocks in comparison with the load curve exhibit a mean absolute percentage error and root mean square error of 6.22% and 12.32%, respectively.