Title: Targeted demand response for flexible energy communities using clustering techniques

Abstract: The present study proposes clustering techniques for designing demand response (DR) programs for commercial and residential prosumers. The goal is to alter the consumption behavior of the prosumers within a distributed energy community in Italy. This aggregation aims to: a) minimize the reverse power flow at the primary substation, occuring when generation from solar panels in the local grid exceeds consumption, and b) shift the system wide peak demand, that typically occurs during late afternoon. Regarding the clustering stage, we consider daily prosumer load profiles and divide them across the extracted clusters. Three popular machine learning algorithms are employed, namely k-means, k-medoids and agglomerative clustering. We evaluate the methods using multiple metrics including a novel metric proposed within this study, namely peak performance score (PPS). The k-means algorithm with dynamic time warping distance considering 14 clusters exhibits the highest performance with a PPS of 0.689. Subsequently, we analyze each extracted cluster with respect to load shape, entropy, and load types. These characteristics are used to distinguish the clusters that have the potential to serve the optimization objectives by matching them to proper DR schemes including time of use, critical peak pricing, and real-time pricing. Our results confirm the effectiveness of the proposed clustering algorithm in generating meaningful flexibility clusters, while the derived DR pricing policy encourages consumption during off-peak hours. The developed methodology is robust to the low availability and quality of training datasets and can be used by aggregator companies for segmenting energy communities and developing personalized DR policies.