Privacy-preserving incentive mechanism for integrated demand response: A homomorphic encryption-based approach

Demand response is crucial for stabilizing smart grids by promoting flexible energy consumption. However, current demand response models largely rely on single- or bi-level frameworks, which lack the structure to effectively propagate incentives from the grid to integrated energy system service prov...

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Main Authors: Wen-Ting Lin, Guo Chen, Jueyou Li, Yan Lei, Wanli Zhang, Degang Yang, Tingzhen Ming
Format: Article
Language:English
Published: Elsevier 2025-03-01
Series:International Journal of Electrical Power & Energy Systems
Subjects:
Online Access:http://www.sciencedirect.com/science/article/pii/S0142061524006306
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author Wen-Ting Lin
Guo Chen
Jueyou Li
Yan Lei
Wanli Zhang
Degang Yang
Tingzhen Ming
author_facet Wen-Ting Lin
Guo Chen
Jueyou Li
Yan Lei
Wanli Zhang
Degang Yang
Tingzhen Ming
author_sort Wen-Ting Lin
collection DOAJ
description Demand response is crucial for stabilizing smart grids by promoting flexible energy consumption. However, current demand response models largely rely on single- or bi-level frameworks, which lack the structure to effectively propagate incentives from the grid to integrated energy system service providers and, ultimately, to multi-energy users. Additionally, privacy concerns in collecting and transmitting user energy preferences can reduce user participation in demand response. This study addresses these challenges by proposing a three-level demand response model for integrated energy systems, structured to align grid and integrated energy system objectives through a hierarchical incentive system. Using a Stackelberg game framework, the model coordinates interactions among the grid, integrated energy system service providers, and multi-energy users, ensuring efficient incentive distribution across all levels. To further protect privacy and encourage participation, a fully distributed algorithm incorporating homomorphic encryption is employed. Simulation results indicate that the proposed three-level mechanism enhances demand response performance by aligning user actions with grid objectives, outperforming traditional bi-level models.
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institution Kabale University
issn 0142-0615
language English
publishDate 2025-03-01
publisher Elsevier
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series International Journal of Electrical Power & Energy Systems
spelling doaj-art-a2819e79717d4e298deb6faa918212a12025-01-19T06:23:56ZengElsevierInternational Journal of Electrical Power & Energy Systems0142-06152025-03-01164110407Privacy-preserving incentive mechanism for integrated demand response: A homomorphic encryption-based approachWen-Ting Lin0Guo Chen1Jueyou Li2Yan Lei3Wanli Zhang4Degang Yang5Tingzhen Ming6School of Computer and Information Science, Chongqing Normal University, Chongqing 401331, China; Corresponding authors.College of Electronic and Information Engineering, Southwest University, Chongqing 400715, China; Corresponding authors.School of Computer and Information Science, Chongqing Normal University, Chongqing 401331, ChinaCollege of Electronic and Information Engineering, Southwest University, Chongqing 400715, ChinaSchool of Computer and Information Science, Chongqing Normal University, Chongqing 401331, ChinaSchool of Computer and Information Science, Chongqing Normal University, Chongqing 401331, ChinaSchool of Civil Engineering and Architecture, Wuhan University of Technology, Wuhan, Hubei 430070, ChinaDemand response is crucial for stabilizing smart grids by promoting flexible energy consumption. However, current demand response models largely rely on single- or bi-level frameworks, which lack the structure to effectively propagate incentives from the grid to integrated energy system service providers and, ultimately, to multi-energy users. Additionally, privacy concerns in collecting and transmitting user energy preferences can reduce user participation in demand response. This study addresses these challenges by proposing a three-level demand response model for integrated energy systems, structured to align grid and integrated energy system objectives through a hierarchical incentive system. Using a Stackelberg game framework, the model coordinates interactions among the grid, integrated energy system service providers, and multi-energy users, ensuring efficient incentive distribution across all levels. To further protect privacy and encourage participation, a fully distributed algorithm incorporating homomorphic encryption is employed. Simulation results indicate that the proposed three-level mechanism enhances demand response performance by aligning user actions with grid objectives, outperforming traditional bi-level models.http://www.sciencedirect.com/science/article/pii/S0142061524006306Privacy-preservingIncentive mechanismIntegrated energy systemDemand responseHomomorphic encryption
spellingShingle Wen-Ting Lin
Guo Chen
Jueyou Li
Yan Lei
Wanli Zhang
Degang Yang
Tingzhen Ming
Privacy-preserving incentive mechanism for integrated demand response: A homomorphic encryption-based approach
International Journal of Electrical Power & Energy Systems
Privacy-preserving
Incentive mechanism
Integrated energy system
Demand response
Homomorphic encryption
title Privacy-preserving incentive mechanism for integrated demand response: A homomorphic encryption-based approach
title_full Privacy-preserving incentive mechanism for integrated demand response: A homomorphic encryption-based approach
title_fullStr Privacy-preserving incentive mechanism for integrated demand response: A homomorphic encryption-based approach
title_full_unstemmed Privacy-preserving incentive mechanism for integrated demand response: A homomorphic encryption-based approach
title_short Privacy-preserving incentive mechanism for integrated demand response: A homomorphic encryption-based approach
title_sort privacy preserving incentive mechanism for integrated demand response a homomorphic encryption based approach
topic Privacy-preserving
Incentive mechanism
Integrated energy system
Demand response
Homomorphic encryption
url http://www.sciencedirect.com/science/article/pii/S0142061524006306
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