Optimal implementation of the TOU load response program by providing an economical model related to the behavior of residential electricity consumers.

The important defect of the previous  models , is assumed that consumer behavior is based on logic and with a rise in the price their consumption decreased and they accurately have no problems with their control. However, various parameters such as lifestyle, habits and emotions and something like that can be effective. In this paper, we use the new model called the OLG model and the CRRA function, which is one of the economists' favorite functions, to solve these problems with the help of the theory of consumer choice and its two important tools, the utility function and the budget constraint. In order to overcome the problem of existing models, the above three coefficients ρ1 and ρ2  (rate of time preferences) and θ (Constant Relative Risk Aversion) are obtained that show the lifestyle coefficients and the tendency of each household to transfer and reduce load. In this study, it was determined that by setting the Constant Relative Risk Aversion and the consumer rate of time preferences, in addition to reducing the consumer cost, the flat load profile will be created. Also, through this model, the inappropriate performance of the TOU demand response was demonstrated in Tehran.