A Novel Approach to Forecast and Manage Electrical Maximum Demand

Amin Amini, Purdue University


Electric demand charge is a large portion (usually 40%) of electric bill in residential, commercial, and manufacturing sectors. This charge is based on the greatest of all demands that have occurred during a month recorded by utility provider for an end-user. During the past several years, electric demand forecasting have been broadly studied by utilities on account of the fact that it has a crucial impact on planning resources to provide consumers reliable power at all time; on the other hand, not many studies have been conducted on consumer side. In this thesis, a novel Maximum Daily Demand (MDD) forecasting method, called Adaptive-Rate-of-Change (ARC), is proposed by analysing real-time demand trend data and incorporating moving average calculations as well as rate of change formularization to develop a forecasting tool which can be applied on either utility or consumer sides. ARC algorithm is implemented on two different real case studies to develop very short-term load forecasting (VSTLF), short-term load forecasting (STLF), and medium-term load forecasting (MTLF). The Chi-square test is used to validate the forecasting results. The results of the test reveal that the ARC algorithm is 84% successful in forecasting maximum daily demands in a period of 72 days with the P-value equals to 0.0301. Demand charge is also estimated to be saved by $8,056 (345.6 kW) for the first year for case study I (a die casting company) by using ARC algorithm. Following that, a new Maximum Demand Management (MDM) method is proposed to provide electric consumers a complete package. The proposed MDM method broadens the electric consumer understanding of how MDD is sensitive to the temperature, production, occupancy, and different sub-systems. The MDM method are applied on two different real case studies to calculate sensitivities by using linear regression models. In all linear regression models, R-squareds calculated as 0.9037, 0.8987, and 0.8197 which indicate very good fits between fitted values and observed values. The results of proposed demand forecasting and management methods can be very helpful and beneficial in decision making for demand management and demand response program.




Razban, Purdue University.

Subject Area

Electrical engineering|Energy

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