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Energy management is to reduce energy consumption as well as to look for alternative sources of energy which are cheaper so as minimize the total cost of energy consumption. A cluster of interconnected price-responsive demands that can be supplied through the main grid and a stochastic Distributed Energy Resources (DERs). To solve this EMS problem an optimization algorithm based on Linear Programming (LP) approach has been implemented. The objective of the proposed method is to maximize the utilization of the cluster of demands when it is subjected to a set of constrains. This LP algorithm allows the cluster of demand to buy, store and sell energy at suitable times to adjust the hourly load level. To evaluate the performance of the proposed algorithm an IEEE 14 bus system was considered. Improvement in the method is optimization problem has two sources uncertainty related to both the production level of the DERs and the price of the energy obtained from/sold to the main grid is modeled using Robust Optimization techniques. Smart Grid technology is used to realize 2-way communication between the EMS and the main grid and between the EMS and the DERs.