Mohammad Hasan Hashemi - Master of Science Student Department of Electrical Engineering, Zanjan Branch, Islamic AzadUniversity, Zanjan, Iran
Majid Moradlou - Assistant Professor, Department of Electrical Engineering, Zanjan Branch, Islamic Azad University, Zanjan, Iran
Mehdi Bigdeli - Assistant Professor, Department of Electrical Engineering Zanjan Branch, Islamic Azad University Zanjan, Iran

Smart grid has brought many benefits for both utility companies and electricity customers through various demand side management programs. In this paper a new DSM program based on load shifting and dynamic pricing for electricity consumption is proposed foR controllable appliances in ancommercial section. The main objective of proposed algorithm is to reduce load peak demand an also electricity bill with respect to the customers’ welfare. The objective load curve is chosen inversely proportional to the wholesale electricity price in the commercial area. In order to have an optimized loadcurve pattern, particle swarm optimization (PSO) algorithm is applied to the proposed DSM technique. The results show that a magnificent saving in power production and therefore electricity bill can be achieved with a proper demand management with no interfere in customers’ welfare.

Smart Grid, Commercial Section, Demand Side Management, Dynamic Pricing