The computing devices in data centers of cloud and fog remain in continues running cycle to provide services. The long execution state of large number of computing devices consumes a significant amount of power, which emits an equivalent amount of heat in the environment. The performance of the devices is compromised in heating environment. The high powered cooling systems are installed to cool the data centers. Accordingly, data centers demand high electricity for computing devices and cooling systems. Moreover, in Smart Grid (SG) managing energy consumption to reduce the electricity cost for consumers and minimum rely on fossil fuel based power supply (utility) is an interesting domain for researchers. The SG applications are time-sensitive. In this paper, fog based model is proposed for a community to ensure real-time energy management service provision. Three scenarios are implemented to analyze cost efficient energy management for power-users. In first scenario, community’s and fog’s power demand is fulfilled from the utility. In second scenario, community’s Renewable Energy Resources (RES) based Microgrid (MG) is integrated with the utility to meet the demand. In third scenario, the demand is fulfilled by integrating fog’s MG, community’s MG and the utility. In the scenarios, the energy demand of fog is evaluated with proposed mechanism. The required amount of energy to run computing devices against number of requests and amount of power require cooling down the devices are calculated to find energy demand by fog’s data center. The simulations of case studies show that the energy cost to meet the demand of the community and fog’s data center in third scenario is 15.09% and 1.2% more efficient as compared to first and second scenarios, respectively. In this paper, an energy contract is also proposed that ensures the participation of all power generating stakeholders. The results advocate the cost efficiency of proposed contract as compared to third scenario. The integration of RES reduce the energy cost and reduce emission of CO
. The simulations for energy management and plots of results are performed in Matlab. The simulation for fog’s resource management, measuring processing, and response time are performed in CloudAnalyst.
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