Customer Engagement Plans for Peak Load Reduction in Residential Smart Grids

In this paper, we propose and study the effectiveness of customer engagement plans that clearly specify the amount of intervention in customer's load settings by the grid operator for peak load reduction. We suggest two different types of plans, including constant deviation plans (CDPs) and proportional deviation plans (PDPs). We define an adjustable reference temperature for both CDPs and PDPs to limit the output temperature of each thermostat...