Energy Allocation Apparatus Using Contribution Margin Ratio
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Solution Overview
Problem
In a distributed energy resource environment, existing allocation schemes fail to optimally allocate energy resources, leading to inefficiencies due to the lack of consideration for the contribution margin ratio of consumers and the diverse needs and locations of energy providers and consumers.
Innovation Solution
A method and apparatus that assess the contribution margin ratio of consumers, calculate optimal energy resource allocation amounts based on this ratio, and distribute energy resources accordingly, while also awarding incentives to providers, thereby maximizing consumer satisfaction and resource availability.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Productivity
If energy resources are allocated based on a single distributed resource or one-to-one mapping between provider and consumer, then the allocation process is simple, but the resource allocation efficiency is low and cannot be optimized
Solution Approach 1:
The patent segments the energy resource allocation process into multiple independent components: contribution margin assessment module, allocation amount calculation module, and resource distribution module. This segmentation allows each module to perform its specific function independently, improving overall allocation efficiency while maintaining manageable system complexity through modular design.
Solution Approach 2:
The patent introduces contribution margin ratio as a new parameter to transform the allocation approach from simple one-to-one mapping to optimized multi-factor allocation. By changing the allocation parameter from basic provider-consumer pairing to contribution-based weighting, the system achieves higher resource allocation efficiency without proportionally increasing complexity.
2Reliability
If distributed energy resources are allocated without considering contribution margin ratio, then the allocation process is straightforward, but consumer satisfaction and resource availability are reduced
Solution Approach 1:
The patent implements a feedback mechanism where contribution margin ratios are continuously assessed based on provider and consumer performance, and this feedback is used to dynamically adjust allocation amounts. This ensures resource availability is maintained through optimized allocation while the feedback loop automates the assessment process, preventing complexity from becoming unmanageable.
Solution Approach 2:
The patent performs preliminary assessment of contribution margins and calculation of allocation amounts before actual resource distribution. This preliminary action ensures that resources are allocated to maximize availability and consumer satisfaction, while the pre-computed allocation plan reduces the complexity of real-time decision-making.
3Loss of energy
If energy resources are distributed without considering diverse needs and locations of providers and consumers, then the distribution process is simple, but energy loss increases and efficiency decreases
Solution Approach 1:
The patent applies local quality by considering the specific location and needs of each provider-consumer pair in the allocation process. The contribution margin assessment takes into account local factors such as distance, resource type compatibility, and consumer-specific requirements, thereby reducing energy loss from suboptimal matching while maintaining a standardized assessment framework that controls overall system complexity.
Data Source
AI summary
A method and apparatus for optimally allocating resources of a provider according to a contribution margin ratio of a resource consumer in a distributed energy resource environment are described. An embodiment is a method for distributing energy resources in a distributed energy resource system. The method may include receiving information about the amount of available energy resources from each of one or more providers, receiving information about the amount of required energy resources from each of one or more consumers, assessing a contribution margin ratio for each of the one or more consumers, calculating an energy resource allocation amount for each of the one or more consumers based on the assessed contribution margin ratio, and distributing energy resources to each of the one or more consumers based on the calculated energy resource allocation amount.