Planning and Scheduling for Industrial Demand Side Management: Advances and Challenges

In the context of the so-called smart grid, the intelligent management of electricity demand, also referred to as demand side management (DSM), has been recognized as an effective approach to increase power grid performance and consumer benefits. Being large electricity consumers, the power-intensive process industries play a key role in DSM. In particular, planning and scheduling for industrial DSM has emerged as a major area of interest for both researchers and practitioners. In this work, we provide an introduction to DSM and present a comprehensive review of existing works on planning and scheduling for industrial DSM. Four main challenges are identified: (1) accurate modeling of operational flexibility, (2) integration of production and energy management, (3) optimization across multiple time scales, and (4) decision-making under uncertainty. Two real-world case studies are presented to demonstrate the capabilities of state-of-the-art models and solution approaches. Finally, we highlight the research gaps and future opportunities in this area.