In response to escalating pollution and climate change, nations are implementing measures to curb carbon emissions and integrate renewable energy solutions. This has led to a surge in distributed energy resource installations globally. However, as intermittent renewables replace conventional sources, ensuring flexibility within the energy system becomes paramount. The residential sector, comprising prosumers with small yet impactful flexible loads, emerges as pivotal in supporting the grid during stress.

Three research questions were addressed: 1) assessing prosumer decision-making on demand response considering incentives, 2) exploring the implications of prosumer behavior on future energy systems, and 3) investigating retailer roles in dynamic energy markets.

Methodologies included optimization modeling, large-scale surveys, statistical analysis, multi-agent models and Stackelberg game. Findings were disseminated through conference papers and journal publications, shedding light on prosumer preferences, motivators for demand response enrollment, and load shifting willingness.