Eilyan bitar, cornell university, usa duncan callaway lead , uc berkeley, usa hamed mohsenian rad, uc riverside, usa dusit niyato, nanyang technological university, singapore by changing their instantaneous consumption in response to grid level conditions, electricity loads have the potential to improve the efficiency, flexibility and cost to operate power systems. Load responsiveness can be elicited by broadcasting a ldquo dynamic rdquo price to loads, where that price contains information about current grid conditions and at a minimum increases with scarcity of supply. Alternatively, loads can be made responsive by having a system operator or third party aggregator directly control their operation. Whereas dynamic pricing relies on decentralized decision making, direct control of loads is a more centralized process in which loads must be aggregated and coordinated in a manner that achieves grid objectives but simultaneously provides adequate service to end users.

The symposium aims to focus on theoretical, experimental and proof of concept results of research and innovation in the areas above. Djokić university of edinburgh, uk per goncalves da silva sap, germany , stamatis karnouskos sap, germany , and dejan ilic sap, germany a study of demand side management potential in south african industries a hughes, mi howells, a trikam, ar kenny ,wood and wood. 2006 ,eri.uct.ac.za demand side management is a way of reducing demand and therefore delaying the time when new generation capacity is needed. management at the cement mill are highly aware of energy costs and have implemented effective measures to reduce electrical loads at times of requirements and prospects for consumers of electrical energy regarding demand side management y penya, p palensky ,proceedings of the. 2003 ,paginaspersonales.deusto.es a number of electrical and portable heating devices are plugged into a dsm proxy and a dsm demand side management cpu central processing unit vd virtual device pcb printed circuit board eib economics iewt 4 j. Chen: hot water load control on optimizing pv use through active demand side management e caamaño martín, d masa.

2009 ,robolabo.etsit.upm.es possibility to operate in a grid connected or isolated mode 5. demand side management defined here consumers is increasingly viable with the use of highly efficient electrical appliances that can be remotely controlled 6. 2002 ,hks.harvard.edu the frequency decline is arrested primarily because many electrical loads such as motors vary with system frequency. the nerc 1993 demand side management document asks 13 interesting and important questions about the use of loads as reserves. privacy concerns in upcoming residential and commercial demand response systems m lisovich, s wicker ,proc. 2008 ,truststc.org will allow utilities to improve planning and test the effects of various demand side management titledemand side management in china author s zhong, j kang, c liu, k the i e e e power and energy society general meeting, minneapolis, mn. 1 4 url abstract demand side management has been one of the effective means of load shifting and peak load shaving.

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In a system with distributed generations and distributed renewable energy sources, demand response can significantly improve the efficiency of electricity usage and energy saving. With the development of advance metering emand side management dsm in power industry aims to reduce energy consumption and improve overall electricity usage efficiency through the implementation of policies and methods that control electricity demand. Demand side management is usually a task for power companies / utilities to reduce or remove peak load, hence defer the installations of new capacities and distribution facilities. The commonly used methods by utilities for demand side management are: combination of high efficiency generation units, peak load shaving, load shifting, and operating practices facilitating efficient usage of electricity, etc. With deregulation of power industry, the residential and commercial consumers also play an important role in demand side management.

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Especially with the recent trend of increasing penetration of distributed generations dgs and this work was supported by the hku seed funding program for basic research project code: 2008159092 , hku strategic research theme and the university development funding initiative on clean energy amp j. Liu are with the department of electrical and electronic engineering, the university of hong kong, hong kong e mail: [email protected], [email protected] . Kang is with the department of electrical engineering, tsinghua university, beijing, china e mail: [email protected].

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China as a developing country, the economy is growing very fast in the past decade. The installed capacity has increased by more than 170 gw 27.5% in two year from 622 gw 2006 to 792 gw 2008. Due to the time lag of building new power plants to serve highly increased load, demand side management becomes one of the important means of reducing peak demands and deferring new generation capacities. In this paper, we will introduce the situation of demand side management in china and its role in in section ii, we will introduce the basic concepts of demand side management in power industry. Section iv discusses the issues and challenges of demand side management in china. Section v is the the demand side management or load management has been used as an alternative solution for system operation in past thirty years. An overall review of demand side management is provided in 1 , including peak load shaving, valley filling and load shifting.

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In 2 , load management programs are classified as economic based programs and stability based programs. An economic based program aims to minimize price spikes during peaking demand periods. A stability based program focus on enhancing power system stability margins without installing additional facilities. In a long term, proper load management activities can reduce power system operating costs and capacity investment costs 3. In a short term, load management can reduce customer interruption costs as well as operating costs 4. Direct load control dlc is one of the commonly used tools for demand side management. The objective of dlc is to minimize uncontrollable load losses, hence lower operating cost and improve system reliability.

The performance of dynamic dlc in power system operation is evaluated using monte carlo simulation in 5. Unlike the price based demand response, dlc programs are feasible with the existing as one of the contingency reserve services by north america electricity reliability council nerc 6. This kind of ancillary service procured from demand side is being practicing by several utilities and markets around world. Such il programs still need supports from mature market structure another commonly used tool for demand side management is price incentive program. In normal operating conditions, through price incentives, it is possible to enlarge the flexibility of demand and enhance the operation efficiency of the system. Tou typically has high peak prices on weekday peaking hours and low off peak prices for the remaining time periods.

With the development of metering technologies, critical peak pricing cpp is proposed. Customers are notified of high prices in advance, then control technologies are applied to adjust load. According to the experience in california, load can be reduced significantly during critical periods 7 8. The major obstacle of implementing price based load management program is the costly hardware infrastructures, such as communication, metering, and control etc. However, this problem could be resolved in the future smart grid, in which advance technologies such as two way communication, smart metering and load control devices will be deployed for residential and commercial users as well as industrial users. There is a great potential of using demand side management to enhance customer satisfactory, system reliability and energy efficiency, while avoid unnecessary investment. Situations of demand side management in china unlike european countries and north america, china started demand side management from 1990s.