Sharing Coefficient-Based Price Signals for Demand Response in Renewable Energy Communities

Abstract

Renewable energy communities can increase local photovoltaic (PV) use, but feeder-level surplus can still cause reverse power flow in low-voltage networks. Existing sharing coefficient methods are mainly used ex-post for surplus allocation and billing, so they do not directly guide demand toward hours and feeders where shared PV can reduce export. This paper proposes a sharing coefficient-based demand response framework that converts dynamic proportional allocation outcomes into household specific day-ahead price signals. The feeder-aware design first shares surplus within each feeder, while the feeder-agnostic design shares surplus through a single community pool. The energy community manager iteratively computes the allocation from submitted demand and PV forecasts, decomposes purchased energy into same-feeder, inter-feeder, and grid-import components, and coordinates household load reshaping through a convex optimization model. Using measured profiles from 15 households and AC power flow analysis, the framework reduces feeder reverse energy by 45.0% and 44.6% on selected high reverse energy days, and by 69.0% and 66.3% over the annual window, for the feeder-aware and feeder-agnostic cases, respectively. These results show that sharing coefficients can be used not only for ex-post billing, but also as operational price signals for demand response, with feeder-aware allocation providing an additional network benefit by accounting for household location in the low-voltage network.