Demand Side Management in Microgrids

India is a developing nation with growing energy demand. With the limitations in monetary resources, increasing the generation capacity should not be the only way to achieve this target. Demand Side Management (DSM) is one such viable solution to this problem. Management of power from the demand side is DSM. The recent trend to use distributed generation like Solar Photovoltaics and Wind turbines has led to increasing usage of Microgrids nowadays. DSM can be applied to such Microgrids for their better and optimal performance and thus manage power to reduce investment. The applications of different objectives of DSM to microgrid are discussed in this paper. One such microgrid is taken as a case study. Application of DSM to this case study is discussed. The techno-economic analysis of the proposed case study is verified with the load flow analysis employing Newton Trust Region Method and DSM indices.