A Data-Driven Customer Segmentation Strategy Based on Contribution to System Peak Demand

Abstract

Advanced metering infrastructure (AMI) enables utilities to obtain granular energy consumption data, which offers a unique opportunity to design customer segmentation strategies based on their impact on various operational metrics in distribution grids. However, performing utility-scale segmentation for unobservable customers with only monthly billing information, remains a challenging problem. To address this challenge, we propose a new metric, the coincident monthly peak contribution (CMPC), that quantifies the contribution of individual customers to system peak demand. Furthermore, a novel multi-state machine learning-based segmentation method is developed that estimates CMPC for customers without smart meters (SMs): first, a clustering technique is used to build a databank containing typical daily load patterns in different seasons using the SM data of observable customers. Next, to associate unobservable customers with the discovered typical load profiles, a classification approach is leveraged to compute the likelihood of daily consumption patterns for different unobservable households. In the third stage, a weighted clusterwise regression (WCR) model is utilized to estimate the CMPC of unobservable customers using their monthly billing data and the outcomes of the classification module. The proposed segmentation methodology has been tested and verified using real utility data.