Visual Journal of Technical and Vocational Education

Visual Journal of Technical and Vocational Education

An Optimization-Based Framework for Day-Ahead Power System Operation Incorporating Demand Response and Real-Time Pricing under Uncertainty

Document Type : Original Article

Authors
1 Department of Economics, Islamic Azad university Tehran central branch, Tehran, Iran
2 Department of Economics, Islamic Azad university central branch, Tehran, Iran
3 Department of Islamic studies and Economics, Imam Sadiq University. Tehran, Iran
10.48301/vjtve.2026.574962.1161
Abstract
The increasing penetration of renewable energy resources, higher demand variability, and the growing role of active consumers have introduced new challenges to traditional day-ahead power system operation. Demand response (DR) programs and real-time pricing (RTP) mechanisms offer effective means for improving operational flexibility; however, their coordinated integration into uncertainty-aware day-ahead scheduling models has not been fully investigated. This paper proposes an optimization-based framework that jointly incorporates DR and RTP into a stochastic security-constrained unit commitment (SCUC) model. Load demand and price-related uncertainties are represented through a scenario-based stochastic formulation, enabling simultaneous coordination between generation scheduling decisions and price-responsive demand adjustments. The proposed framework aims to minimize the expected total operating cost while satisfying generation limits, power balance, reserve requirements, ramping constraints, and DR-related operational limitations. The model is evaluated under multiple operating scenarios to examine the effects of coordinated DR and RTP participation on system performance. The simulation results indicate that the proposed framework can reduce total operating cost, enhance demand-side flexibility, and improve the robustness of day-ahead scheduling compared with conventional approaches. These findings suggest that coordinated demand-side participation supported by dynamic pricing mechanisms can contribute to more efficient and reliable day-ahead power system operation under uncertainty.
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Articles in Press, Accepted Manuscript
Available Online from 02 September 2026

  • Receive Date 10 February 2026
  • Revise Date 28 May 2026
  • Accept Date 02 September 2026