Privacy Preserving Demand Side Management Method via Multi-Agent Reinforcement Learning

The smart grid utilizes the demand side management technology to motivate energy users towards cutting demand during peak power consumption periods, which greatly improves the operation efficiency of the power grid. However, as the number of energy users participating in the smart grid continues to increase, the demand side management strategy of individual agent is greatly affected by the dynamic strategies of other agents. In addition, the existing demand side management methods, which need to obtain users' power consumption information, seriously threaten the users' privacy. To address the dynamic issue in the multi-microgrid demand side management model, a novel multi-agent reinforcement learning method based on centralized training and decentralized execution paradigm is presented to mitigate the damage of training performance caused by the instability of training experience. In order to protect users' privacy, we design a neural network with fixed parameters as the encryptor to transform the users' energy consumption information from low-dimensional to high-dimensional and theoretically prove that the proposed encryptor-based privacy preserving method will not affect the convergence property of the reinforcement learning algorithm. We verify the effectiveness of the proposed demand side management scheme with the real-world energy consumption data of Xi'an, Shaanxi, China. Simulation results show that the proposed method can effectively improve users' satisfaction while reducing the bill payment compared with traditional reinforcement learning (RL) methods (i.e., deep Q learning (DQN), deep deterministic policy gradient (DDPG), QMIX and multi-agent deep deterministic policy gradient (MADD PG)). The results also demonstrate that the proposed privacy protection scheme can effectively protect users' privacy while ensuring the performance of the algorithm.