There is an increasing opportunity for consumers to play a significant role in the operation of the electric grid by reducing or shifting their electricity usage during peak periods in response to time-based rates or other forms of financial incentives.
Ofgem defines flexibility as
‘modifying generation and/or consumption patterns in reaction to an external signal (such as a change in price) to provide a service within the energy system’.
And it is this flexibility that will help balance capacity and manage risk.
What does it mean in reality?
In short, Demand Response is a way of a company being paid by the Grid for not consuming electricity at certain times. Signals are sent out, at either short-notice or pre-determined times, and loads are either automatically or manually turned down. To enable this to happen, you need to have awareness and control over those loads, and the best way of doing so is to have controllable sub-metering by either switching or BMS systems.
What expertise do you need?
The Demand Response marketplace is made up of many different offerings and, although not necessarily the case once an understanding is gained, is seen as complex and it is beneficial for organisations without specialist personnel to work with third-parties to put a package together. In doing so, we would work with you to ensure we all understand the processes on your site and the impact that Demand Response strategies may have, with the focus not only on consumption reduction but also maintaining your processes.