Distributed fairness-guided optimization for coordinated demand response in multi-stakeholder process networks

Andrew Allman, Qi Zhang

Research output: Contribution to journalArticlepeer-review

1 Scopus citations


Demand response has become an essential operating paradigm for enabling high penetration of intermittent, renewable energy into the power grid. To maximize a process's potential to perform demand response, it is important to not only consider that single process but also coordinate with the entire network of self-interested supplier and customer entities. In this work, we develop optimization formulations that enable the network-wide coordination of different processes’ operating schedules such that the benefits of coordination are shared fairly amongst stakeholders. We propose methods for solving the problems in a distributed manner that allow stakeholders to retain data privacy and avoid sharing their process models with one another. Computational studies are performed to analyze the difference in costs for different formulations and the difference in computational performance for different distributed algorithms. The applicability of the proposed approaches to problems of practical significance is further demonstrated through a chlorine network case study.

Original languageEnglish (US)
Article number107777
JournalComputers and Chemical Engineering
StatePublished - May 2022

Bibliographical note

Funding Information:
We thank Dr. Satyajith Amaran from The Dow Chemical Company for insightful discussions on the concept and practical relevance of this work.

Publisher Copyright:
© 2022 Elsevier Ltd


  • ADMM
  • Coordination
  • Distributed optimization
  • Industrial demand response
  • Nash bargaining


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