What is demand response?
Demand response (DR) is when consumers adjust their use of electricity to match what is available at the time. Typically this involves reducing energy usage during peak hours.
Consumers then play a more active role in the operation of the electricity grid. DR reduces the need to temporarily shut down generation from renewable sources (wind turbines or photovoltaics) and complements the generating capacity of peak load power plants.
Demand response is an innovative solution being increasingly relied upon to help System Operators balance demand and supply on national energy infrastructure networks.
Commercial electricity consumers, such as industrial and manufacturing plants, office buildings and public sector sites like hospitals can use demand response to reduce electricity demand on the network when energy usage is at peak levels.
Demand response offers participating organisations a range of benefits including an ongoing revenue stream, reduced overall electricity expenditure and improved sustainability credentials. Most importantly it is a cleaner and more efficient method of grid balancing than traditional peaking power stations.
Sim4Blocks is seeking to introduce Demand Response programmes at the blocks of buildings level, where most significant results can be generated in terms of impact on demands on the grid as well as savings made by the end user.