Real-time pricing-based scheduling strategy in smart grids: A hierarchical game approach

This paper proposes a scheduling strategy based on real-time pricing in smart grids. a hierarchical game is employed to analyze the decision-making process of generators and consumers. we prove the existence and uniqueness of nash equilibrium and utilize a backward induction method to obtain the generation and consumption strategies. then,we propose two dynamic algorithms for the generators and consumers to search for the equilibrium in a distributed fashion. simulation results demonstrate that the proposed scheduling strategy can match supply with demand and shift load away from peak time. © 2014 jie yang et al.