Although Demand Response (DR) program has potentially several advantages it is currently faced with challenges in its implementation due to the customers’ considerations in responding to the time-varying price and signals. The suggested solution to overcome these obstacles is developing an automatic program for management and scheduling of home appliances in order to minimize the resident operation costs. In this paper an automatic and optimized program has been proposed for management of energy consumption in smart homes based on DR implementation. The smart home includes the smart appliances as well as Plug-in Hybrid Electric Vehicle (PHEV). The proposed methodology is based on the time of use tariff and inclining block rates. The proposed DR program is applied to several different scenarios and the results are evaluated.
