Economic Analysis of Smart Appliance Penetration from a Societal Perspective in Korea

Home appliances used in daily life take major portion of residential electricity consumption. The recent evolution of those to having network connectivity and higher intelligence brought an opportunity to handle them as new controllable demand side resources, which are called smart appliances. The smart appliances can be used for spinning reserve as well as load reduction and/or shifting without giving too much inconvenience to users. In this paper, home appliances in Korea are assumed to be replaced to smart appliances gradually depending on scenarios. Then, California test is applied to analyze the effectiveness and economic impact of smart appliance penetration from a societal perspective.