Research on the Optimal Design of Seasonal Time-of-Use Tariff Based on the Price Elasticity of Electricity Demand

Wanlei Xue, Xin Zhao, Yan Li, Ying Mu, Haisheng Tan, Yixin Jia, Xuejie Wang, Huiru Zhao and Yihang Zhao ()
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Wanlei Xue: Economic & Technological Research Institute, State Grid Shandong Electric Power Company, Jinan 250021, China
Xin Zhao: Economic & Technological Research Institute, State Grid Shandong Electric Power Company, Jinan 250021, China
Yan Li: Economic & Technological Research Institute, State Grid Shandong Electric Power Company, Jinan 250021, China
Ying Mu: Economic & Technological Research Institute, State Grid Shandong Electric Power Company, Jinan 250021, China
Haisheng Tan: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Yixin Jia: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Xuejie Wang: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Huiru Zhao: School of Economics and Management, North China Electric Power University, Beijing 102206, China
Yihang Zhao: School of Economics and Management, North China Electric Power University, Beijing 102206, China

Energies, 2023, vol. 16, issue 4, 1-17

Abstract: Building a new power system with renewable energy as its main component is a key measure proposed by China to address the climate change problem. Strengthening demand-side management (DSM) is an important way to promote the development of a new power system. As an important economic incentive measure in DSM, the current TOU tariff is faced with the problem of a weak incentive effect due to the small tariff difference between the peak and valley periods. Against this background, a novel hybrid three-stage seasonal TOU tariff optimization model is proposed in this paper. First, the K-means++ algorithm is adopted to select the typical days of the four seasons through load curve clustering. Then, the price elasticity of the electricity demand model is constructed to calculate the self-elasticity and cross-elasticity in four seasons. Finally, the seasonal TOU tariff optimization model is constructed to determine the optimal TOU tariff. Through the proposed model, the tariff in the peak period has increased by 8.06–15.39%, and the tariff in the valley period has decreased by 18.48–27.95%. The result shows that the load in the peak period has decreased by 4.03–8.02% and the load in the valley period has increased by 6.41–9.75% through the proposed model.

Keywords: demand-side management; time-of-use tariff; K-means++ algorithm; price elasticity of electricity demand (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

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