A demand response strategy for air compressors network with optimal production and energy utilisation

The approach of integrating demand response strategy with operational scheduling is used to investigate the flexibility in the operational performance under time-sensitive electricity tariffs and to provide cost benefits analysis to the industrial consumers. The proposed approach focused on implementing a demand response strategy in a case study of scheduling for an industrial network of compressors for Time of Use and Enhanced Time of Use tariffs for heavy industries. The optimisation framework was developed as a mixed integer linear programming model. The percentage of total cost reduction is around 5% to 13% by implementing a demand response program. A considerable percentage of cost saving is possible to achieve for the Enhanced Time of use tariff since it offers an extensive off-peak time zone during the night hours and on the weekend. It is concluded that the study highlights the operational performance goal of achieving cost savings by implementing a demand response strategy for energy industries.