IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v9y2017i8p1332-d106450.html
   My bibliography  Save this article

Evaluating the Comprehensive Performance of Demand Response for Commercial Customers by Applying Combination Weighting Techniques and Fuzzy VIKOR Approach

Author

Listed:
  • Jun Dong

    (School of Economics and Management, North China Electric Power University, Beijing 102206, China)

  • Huijuan Huo

    (School of Economics and Management, North China Electric Power University, Beijing 102206, China)

  • Dongran Liu

    (School of Economics and Management, North China Electric Power University, Beijing 102206, China)

  • Rong Li

    (School of Economics and Management, North China Electric Power University, Beijing 102206, China)

Abstract

In order to guarantee the sustainability of power industries, demand response is widely developed in China with the improvement of power markets. Massive potential flexible resources in the commercial sector are valuable to carry out continuous demand response programs. This paper presented a hybrid framework to evaluate the performance of such programs. Considering that assessment processes involve multiple decisions for massive criteria under fuzzy conditions, we proposed a fuzzy multi-criteria decision making model to evaluate the performance of commercial demand response based on the concepts of a fuzzy Vlsekriterijumska Optimizacijia I Kompromisno Resenje method and a L2-metric distance. The weighting determination process in the model was modified by integrating subjective opinions and objective information according to a fuzzy Analytic Hierarchy Process and Criteria Importance Through Intercriteria Correlation methods. Then a comprehensive evaluation index system for demand response performance was established by using a fuzzy Delphi method based on experts’ opinions, including the five aspects of economy, society, technology, environment and management. Finally, the practicality of the proposed hybrid framework was verified through an empirical analysis of five such programs in Chinese commercial buildings. Their comprehensive performances were ranked effectively. Sub-criteria affiliated with society and environment should be more attention than the other evaluation criteria based on experts’ judgments and objective information. Moreover, a set of sensitivity analyses were performed to confirm the robustness and effectiveness of the proposed framework and the evaluation results. The study findings can offer references for the improvement of demand response and relevant policy formulation.

Suggested Citation

  • Jun Dong & Huijuan Huo & Dongran Liu & Rong Li, 2017. "Evaluating the Comprehensive Performance of Demand Response for Commercial Customers by Applying Combination Weighting Techniques and Fuzzy VIKOR Approach," Sustainability, MDPI, vol. 9(8), pages 1-32, July.
  • Handle: RePEc:gam:jsusta:v:9:y:2017:i:8:p:1332-:d:106450
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/9/8/1332/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/9/8/1332/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Gils, Hans Christian, 2014. "Assessment of the theoretical demand response potential in Europe," Energy, Elsevier, vol. 67(C), pages 1-18.
    2. Chou, Shuo-Yan & Chang, Yao-Hui & Shen, Chun-Ying, 2008. "A fuzzy simple additive weighting system under group decision-making for facility location selection with objective/subjective attributes," European Journal of Operational Research, Elsevier, vol. 189(1), pages 132-145, August.
    3. Qadrdan, Meysam & Cheng, Meng & Wu, Jianzhong & Jenkins, Nick, 2017. "Benefits of demand-side response in combined gas and electricity networks," Applied Energy, Elsevier, vol. 192(C), pages 360-369.
    4. Opricovic, Serafim & Tzeng, Gwo-Hshiung, 2007. "Extended VIKOR method in comparison with outranking methods," European Journal of Operational Research, Elsevier, vol. 178(2), pages 514-529, April.
    5. Boßmann, Tobias & Eser, Eike Johannes, 2016. "Model-based assessment of demand-response measures—A comprehensive literature review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 57(C), pages 1637-1656.
    6. Cappers, Peter & Goldman, Charles & Kathan, David, 2010. "Demand response in U.S. electricity markets: Empirical evidence," Energy, Elsevier, vol. 35(4), pages 1526-1535.
    7. Bradley, Peter & Leach, Matthew & Torriti, Jacopo, 2013. "A review of the costs and benefits of demand response for electricity in the UK," Energy Policy, Elsevier, vol. 52(C), pages 312-327.
    8. Norman Dalkey & Olaf Helmer, 1963. "An Experimental Application of the DELPHI Method to the Use of Experts," Management Science, INFORMS, vol. 9(3), pages 458-467, April.
    9. Wei Sun & Ming Meng & Yujun He & Hong Chang, 2016. "CO 2 Emissions from China’s Power Industry: Scenarios and Policies for 13th Five-Year Plan," Energies, MDPI, vol. 9(10), pages 1-16, October.
    10. Cherni, Judith A. & Kentish, Joanna, 2007. "Renewable energy policy and electricity market reforms in China," Energy Policy, Elsevier, vol. 35(7), pages 3616-3629, July.
    11. Fera, M. & Macchiaroli, R. & Iannone, R. & Miranda, S. & Riemma, S., 2016. "Economic evaluation model for the energy Demand Response," Energy, Elsevier, vol. 112(C), pages 457-468.
    12. Torriti, Jacopo, 2012. "Price-based demand side management: Assessing the impacts of time-of-use tariffs on residential electricity demand and peak shifting in Northern Italy," Energy, Elsevier, vol. 44(1), pages 576-583.
    13. Zhao, Xu & Luo, Dongkun, 2017. "Driving force of rising renewable energy in China: Environment, regulation and employment," Renewable and Sustainable Energy Reviews, Elsevier, vol. 68(P1), pages 48-56.
    14. Li, Weilin & Xu, Peng & Lu, Xing & Wang, Huilong & Pang, Zhihong, 2016. "Electricity demand response in China: Status, feasible market schemes and pilots," Energy, Elsevier, vol. 114(C), pages 981-994.
    15. Klaassen, E.A.M. & van Gerwen, R.J.F. & Frunt, J. & Slootweg, J.G., 2017. "A methodology to assess demand response benefits from a system perspective: A Dutch case study," Utilities Policy, Elsevier, vol. 44(C), pages 25-37.
    16. Sherong Zhang & Bo Sun & Lei Yan & Chao Wang, 2013. "Risk identification on hydropower project using the IAHP and extension of TOPSIS methods under interval-valued fuzzy environment," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 65(1), pages 359-373, January.
    17. Ferruzzi, Gabriella & Cervone, Guido & Delle Monache, Luca & Graditi, Giorgio & Jacobone, Francesca, 2016. "Optimal bidding in a Day-Ahead energy market for Micro Grid under uncertainty in renewable energy production," Energy, Elsevier, vol. 106(C), pages 194-202.
    18. Campillo, Javier & Dahlquist, Erik & Wallin, Fredrik & Vassileva, Iana, 2016. "Is real-time electricity pricing suitable for residential users without demand-side management?," Energy, Elsevier, vol. 109(C), pages 310-325.
    19. Torriti, Jacopo & Hassan, Mohamed G. & Leach, Matthew, 2010. "Demand response experience in Europe: Policies, programmes and implementation," Energy, Elsevier, vol. 35(4), pages 1575-1583.
    20. Hossein Safari & Zahra Faraji & Setareh Majidian, 2016. "Identifying and evaluating enterprise architecture risks using FMEA and fuzzy VIKOR," Journal of Intelligent Manufacturing, Springer, vol. 27(2), pages 475-486, April.
    21. Siano, Pierluigi & Sarno, Debora, 2016. "Assessing the benefits of residential demand response in a real time distribution energy market," Applied Energy, Elsevier, vol. 161(C), pages 533-551.
    22. Rodríguez-García, Javier & Álvarez-Bel, Carlos & Carbonell-Carretero, José-Francisco & Alcázar-Ortega, Manuel & Peñalvo-López, Elisa, 2016. "A novel tool for the evaluation and assessment of demand response activities in the industrial sector," Energy, Elsevier, vol. 113(C), pages 1136-1146.
    23. Chang, Da-Yong, 1996. "Applications of the extent analysis method on fuzzy AHP," European Journal of Operational Research, Elsevier, vol. 95(3), pages 649-655, December.
    24. Hu, Zheng & Kim, Jin-ho & Wang, Jianhui & Byrne, John, 2015. "Review of dynamic pricing programs in the U.S. and Europe: Status quo and policy recommendations," Renewable and Sustainable Energy Reviews, Elsevier, vol. 42(C), pages 743-751.
    25. Nolan, Sheila & O’Malley, Mark, 2015. "Challenges and barriers to demand response deployment and evaluation," Applied Energy, Elsevier, vol. 152(C), pages 1-10.
    26. Gils, Hans Christian, 2016. "Economic potential for future demand response in Germany – Modeling approach and case study," Applied Energy, Elsevier, vol. 162(C), pages 401-415.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jun Dong & Dongran Liu & Dongxue Wang & Qi Zhang, 2019. "Identification of Key Influencing Factors of Sustainable Development for Traditional Power Generation Groups in a Market by Applying an Extended MCDM Model," Sustainability, MDPI, vol. 11(6), pages 1-30, March.
    2. Yu-Sheng Kao & Kazumitsu Nawata & Chi-Yo Huang, 2019. "Systemic Functions Evaluation based Technological Innovation System for the Sustainability of IoT in the Manufacturing Industry," Sustainability, MDPI, vol. 11(8), pages 1-34, April.
    3. Mehrnaz Jalali & Bo Feng & Junwen Feng, 2022. "An Analysis of Barriers to Sustainable Supply Chain Management Implementation: The Fuzzy DEMATEL Approach," Sustainability, MDPI, vol. 14(20), pages 1-30, October.
    4. Jun Dong & Rong Li & Hui Huang, 2018. "Performance Evaluation of Residential Demand Response Based on a Modified Fuzzy VIKOR and Scalable Computing Method," Energies, MDPI, vol. 11(5), pages 1-27, April.
    5. Jun Dong & Dongxue Wang & Dongran Liu & Palidan Ainiwaer & Linpeng Nie, 2019. "Operation Health Assessment of Power Market Based on Improved Matter-Element Extension Cloud Model," Sustainability, MDPI, vol. 11(19), pages 1-25, October.
    6. Yang, YiBiao & Sun, Huanwu & Dai, Zhen & Wu, Min & Fu, Simei, 2023. "Comprehensive evaluation of majors offered by universities based on combination weighting," Evaluation and Program Planning, Elsevier, vol. 97(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Cortés-Arcos, Tomás & Bernal-Agustín, José L. & Dufo-López, Rodolfo & Lujano-Rojas, Juan M. & Contreras, Javier, 2017. "Multi-objective demand response to real-time prices (RTP) using a task scheduling methodology," Energy, Elsevier, vol. 138(C), pages 19-31.
    2. Tahir, Muhammad Faizan & Chen, Haoyong & Khan, Asad & Javed, Muhammad Sufyan & Cheema, Khalid Mehmood & Laraik, Noman Ali, 2020. "Significance of demand response in light of current pilot projects in China and devising a problem solution for future advancements," Technology in Society, Elsevier, vol. 63(C).
    3. Märkle-Huß, Joscha & Feuerriegel, Stefan & Neumann, Dirk, 2018. "Large-scale demand response and its implications for spot prices, load and policies: Insights from the German-Austrian electricity market," Applied Energy, Elsevier, vol. 210(C), pages 1290-1298.
    4. Dranka, Géremi Gilson & Ferreira, Paula, 2019. "Review and assessment of the different categories of demand response potentials," Energy, Elsevier, vol. 179(C), pages 280-294.
    5. Kirchem, Dana & Lynch, Muireann Á. & Bertsch, Valentin & Casey, Eoin, 2020. "Modelling demand response with process models and energy systems models: Potential applications for wastewater treatment within the energy-water nexus," Applied Energy, Elsevier, vol. 260(C).
    6. Leinauer, Christina & Schott, Paul & Fridgen, Gilbert & Keller, Robert & Ollig, Philipp & Weibelzahl, Martin, 2022. "Obstacles to demand response: Why industrial companies do not adapt their power consumption to volatile power generation," Energy Policy, Elsevier, vol. 165(C).
    7. Ribó-Pérez, D. & Carrión, A. & Rodríguez García, J. & Álvarez Bel, C., 2021. "Ex-post evaluation of Interruptible Load programs with a system optimisation perspective," Applied Energy, Elsevier, vol. 303(C).
    8. Majdalani, Naim & Aelenei, Daniel & Lopes, Rui Amaral & Silva, Carlos Augusto Santo, 2020. "The potential of energy flexibility of space heating and cooling in Portugal," Utilities Policy, Elsevier, vol. 66(C).
    9. Y, Kiguchi & Y, Heo & M, Weeks & R, Choudhary, 2019. "Predicting intra-day load profiles under time-of-use tariffs using smart meter data," Energy, Elsevier, vol. 173(C), pages 959-970.
    10. Paterakis, Nikolaos G. & Erdinç, Ozan & Catalão, João P.S., 2017. "An overview of Demand Response: Key-elements and international experience," Renewable and Sustainable Energy Reviews, Elsevier, vol. 69(C), pages 871-891.
    11. Müller, Theresa & Möst, Dominik, 2018. "Demand Response Potential: Available when Needed?," Energy Policy, Elsevier, vol. 115(C), pages 181-198.
    12. Guo, Peiyang & Li, Victor O.K. & Lam, Jacqueline C.K., 2017. "Smart demand response in China: Challenges and drivers," Energy Policy, Elsevier, vol. 107(C), pages 1-10.
    13. Zhou, Kaile & Yang, Shanlin, 2015. "Demand side management in China: The context of China’s power industry reform," Renewable and Sustainable Energy Reviews, Elsevier, vol. 47(C), pages 954-965.
    14. Seungmi Lee & Jinho Kim, 2018. "Analytical Assessment for System Peak Reduction by Demand Responsive Resources Considering Their Operational Constraints in Wholesale Electricity Market," Energies, MDPI, vol. 11(12), pages 1-15, November.
    15. Meyabadi, A. Fattahi & Deihimi, M.H., 2017. "A review of demand-side management: Reconsidering theoretical framework," Renewable and Sustainable Energy Reviews, Elsevier, vol. 80(C), pages 367-379.
    16. Zheng, Yingying & Jenkins, Bryan M. & Kornbluth, Kurt & Kendall, Alissa & Træholt, Chresten, 2018. "Optimization of a biomass-integrated renewable energy microgrid with demand side management under uncertainty," Applied Energy, Elsevier, vol. 230(C), pages 836-844.
    17. Liu, Yingqi, 2017. "Demand response and energy efficiency in the capacity resource procurement: Case studies of forward capacity markets in ISO New England, PJM and Great Britain," Energy Policy, Elsevier, vol. 100(C), pages 271-282.
    18. Anjo, João & Neves, Diana & Silva, Carlos & Shivakumar, Abhishek & Howells, Mark, 2018. "Modeling the long-term impact of demand response in energy planning: The Portuguese electric system case study," Energy, Elsevier, vol. 165(PA), pages 456-468.
    19. Héctor Marañón-Ledesma & Asgeir Tomasgard, 2019. "Analyzing Demand Response in a Dynamic Capacity Expansion Model for the European Power Market," Energies, MDPI, vol. 12(15), pages 1-24, August.
    20. Wang, Yong & Li, Lin, 2015. "Time-of-use electricity pricing for industrial customers: A survey of U.S. utilities," Applied Energy, Elsevier, vol. 149(C), pages 89-103.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:9:y:2017:i:8:p:1332-:d:106450. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.