Abstract
An effective time-of-use (TOU) electricity pricing mechanism is essential to stimulate customers to provide load flexibility by price signals, and can directly determine users' electricity cost. TOU electricity price has been adjusted in many provinces in China recently. This paper introduces and analyzes the new round of adjustment. Based on the difference-in-differences (DiD) method, the TOU effect on customers' electricity cost is calculated. Furthermore, enabled by a multiple regression model, the effect of TOU mechanism on electricity cost is revealed by fitting the decoupled coefficient obtained by DiD. Based on the real electricity cost of TOU and non-TOU customers of specific provinces, types, and voltage levels in July 2022 and July 2023, the TOU effects and general trends are obtained. Then, the accuracy of the regression model is verified. Finally, the TOU effect on the cost per kilowatt hour of commercial customers under different price ratios is analyzed. It is found that there is an optimal critical peak and peak ratio to minimize the electricity cost for commercial customers. This work is supported by Science and Technology Project of State Grid Chongqing Electric Power Company (Research on the Evaluation and Pricing Technology of the Interactive Response of Power Demand Side Resources Under the Transformation of Price Reform, No.SGCQKH00SCJS2250078).
Translated title of the contribution | Analysis on the Effect of Time-of-Use Electricity Price on Electricity Cost Based on Difference-in-Differences Model |
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Original language | Chinese (Traditional) |
Pages (from-to) | 173-182 |
Number of pages | 10 |
Journal | Zhongguo Dianli/Electric Power |
Volume | 57 |
Issue number | 11 |
DOIs | |
Publication status | Published - 28 Nov 2024 |
Keywords
- cost per kilowatt hour of electricity
- difference-in-differences method
- elasticity of demand
- multiple regression model
- time-of-use electricity price