An AI-Powered System for Residential Demand Response

Abstract

Recent studies show that energy consumption of buildings has dramatically increased over the last decade, accounting for more than 35% of global energy use. However, with proper operation, significant energy savings can be achieved. Demand response is envisioned as a key enabler of this operation enhancement, as it may contribute to the reduction of demand peaks and maximization of renewable energy exploitation while mitigating potential problems with grid stability. In this article, a system based on artificial intelligence that solves the complex multi-objective problem to bring demand response programs to the residential sector is proposed. Through the application of novel machine learning-based algorithms, a unique control loop is developed to help dwellers determine how and when to use their appliances. The feasibility and validity of the proposed system has been demonstrated in a real-world neighbourhood where a notable reduction and shift of electricity demand peaks has been achieved. Concretely, in accordance with extreme changes in the energy prices, the users have demonstrated the ability to shift their demand to periods with lower prices as well as reducing power consumption during periods with higher prices, thus fully translating the demand peak in time.