Title: Demand Response and Fluctuation Reduction in Smart Grid
Abstract: In this talk, we will first present an overview on smart grid systems. Then we focus on the market interaction where demand response is present. Instead of the traditional supply-follow-demand approach, we propose and analyze a systematic multi-period market framework, where both (price-taking) consumers and generators locally respond to price. We show that this new market setup gives rise to efficient competitive equilibrium and the improvement in social welfare over traditional market can be unbounded. The resulting system, however, may feature undesirable price and generation fluctuation, which imposes significant challenges in maintaining reliability of the electricity grid. We address this issue by introducing a price fluctuation penalty term and show that this can be equivalently implemented via means of storage, where the storage size can be explicitly characterized. We analyze the connection between the size of storage, consumer utility function properties and resulting fluctuation behaviors. We will also give an outline of other related ongoing works.
Bio: Ermin Wei is currently an Assistant Professor within the EE Academic Program at the EECS Dept of Northwestern University. She completed her PhD studies in Electrical Engineering and Computer Science at MIT in 2014, advised by Professor Asu Ozdaglar, where she also obtained her M.S.. She received her undergraduate triple degree in Computer Engineering, Finance and Mathematics with a minor in German, from University of Maryland, College Park. Wei has received many awards, including the Graduate Women of Excellence Award, second place prize in Ernst A. Guillemen Thesis Award and Alpha Lambda Delta National Academic Honor Society Betty Jo Budson Fellowship. Wei’s research interests include distributed optimization methods, convex optimization and analysis, smart grid and energy networks and market economic analysis.