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A Model for Comprehensive Price-Dependent Management of Industrial Enterprises’ Demand for Electricity and Gas

Authors:

Anatoly P. Dzyuba and Irina A. Solovyeva

Abstract

The article aims to develop an integrated model for energy costs management that allows large con‑ sumers of energy resources to perform price-dependent management of the demand for electricity and natural gas. The authors analyse specific features of a modern mechanism for increasing energy efficiency through the management of demand for electricity. The study of parameters of demand for natural gas and the identification of common technological and economic characteristics of using electricity and natural gas confirm that integrated demand management for these energy resources is possible. The arti‑ cle presents the results of the analysis of the existing conditions in wholesale and retail electricity markets and principles of natural gas pricing, which proved the possibility of comprehensive price-dependent management of demand for electricity and natural gas in the current economic situation. The findings enabled the authors to design a model of comprehensive price-dependent management of demand for electricity and natural gas, which offers consumers of energy resources a possibility to adjust their sched‑ ule of production processes and demand for energy resources taking into account the price parameters of electricity and natural gas supply to minimise the costs.

Keywords: demand management; price-dependent consumption; energy efficiency; electricity consumption; natural gas consumption; retail electricity market; pricing; energy costs.

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For citation: Dzyuba A. P., Solovyeva I. A. Model’ kompleksnogo tsenozavisimogo upravleniya sprosom promyshlennykh predpriyatiy na elektroenergiyu i gaz [A model for comprehensive price-dependent management of industrial enterprises’ demand for electricity and gas]. Izvestiya Uralskogo gosudarstvennogo ekonomicheskogo universiteta – Journal of the Ural State University of Economics, 2018, vol. 19, no. 1, pp. 79−93. DOI: 10.29141/2073-1019-2018-19-1-7