D2P: Distributed Dynamic Pricing Policyin Smart Grid for PHEVs Management


Future large-scale deployment of plug-in hybrid electric vehicles (PHEVs) will render massive energy demand on the electric grid during peak-hours. We propose an intelligent distributed dynamic pricing (D2P) mechanism for the charging of PHEVs in a smart grid architecture-an effort towards optimizing the energy consumption profile of PHEVs users. Each micro-grid decides realtime dynamic price as home-price and roaming-price, depending on the supply-demand curve, to optimize its revenue. Consequently, two types of energy services are considered-home micro-grid energy, and foreign micro-grid energy. After designing the PHEVs' mobility and battery models, the pricing policies for the home-price and the roaming-price are presented. A decision making process to implement a cost-effective charging and discharging method for PHEVs is also demonstrated based on the real-time price decided by the micro-grids. We evaluate and compare the results of distributed pricing policy with other existing centralized/distributed ones. Simulation results show that using the proposed architecture, the utility corresponding to the PHEVs increases by approximately 34 percent over that of the existing ones for optimal charging of PHEVs.

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