Economic demand dispatch of controllable building electric loads for demand response

This paper presents a method for determining the economic dispatch of the controllable electric load (demand) of a group of buildings for demand response purposes. A generic problem formulation to minimize a facility´s overall electricity cost is presented and discussed. This problem is simplified based on certain assumptions derived from real-world building issues so the problem can be solved as a linear programming problem, and a specific example is presented to demonstrate this approach. This example will compare the proposed method to possible approaches by a building manager attempting to shed load via on-site building management systems.