Abstract: Demand Response (DR) is becoming an integral part in the power system and market operations. Much research work is going on the impact of demand response on power system dynamic performance, especially on load frequency control (LFC) problem. The effect of communication delay and optimal operation through optimal power sharing between DR and supplementary control is considered in controller design. The objective of this paper is to fill this gap by introducing a DR control loop to the conventional LFC model single area power system. The addition of the DR control loop increases the stability margin of the system and DR effectively improves the system dynamic performance. The proposed method simulation studies are carried out for a single area power system to verify its effectiveness.

Keywords: Demand response (DR), load frequency control, single area power system, steady state error, sensitivity, stability.