Abstract: “This study investigates customer response to demand response with direct load control at the smart home by implementing home energy management HEM algorithm. An economical evaluation is done to estimated the benefices from the user’s perspective. Initially, this study outlines the development of a high-resolution smart home power demand model with the trends in photovoltaic PV, home automation systems, efficient appliances and battery support, to estimate the potential impacts of demand response programs on the residential load profiles. Finally, the results show highly annual and daily variations on the demand load profile for fixed tariff scenarios up 44% with respect to the current demand profile. Consequently, in the case of TOU rate tariff scenarios, a critical variation for the peak and off-peak transition period was found. This variation goes up 64% with respect to the current demand profile pattern and 80% with respect to the smart home demand profile pattern. Additionally in c”

Keywords: home, automation, HEM, smart, home, demand, response.