Energy Demand Management

Energy Demand Management

Energy Demand Management

Utilities offer initiatives and technologies to encourage businesses to optimize their energy use. Enficiency can help put the money in your pocket by cutting your energy cost and earning payments from your electric Independent system operator (ISO) under DR and Efficiency improvements.


DSM refers to initiatives and technologies encouraging consumers to optimize their energy use. DSM includes Temporary Demand Curtailment, Permanent Demand Reduction with Energy Efficiency, Supplemental Energy Supply from Renewables and Energy Storage, and Demand Response (DR) strategy.


DSM has the potential to put the money in your pocket by cutting your energy cost and earning payments from your electric Independent system operator (ISO) under DR. You may wonder, “Why would ISO pay your business money’?


The simple answer is businesses need and demand reliable electricity. It is less expensive for your ISO to work with you, the existing customer, to reduce usage during peak demand periods than to build a facility that may be utilized only marginally during the peak demand periods.


Many ISOs across the country have the Demand Response programs that pay organizations for temporarily reducing energy usage when the grid is stressed or energy prices are excessively high.


This is a win-win situation for both the consumer and the energy system. Consumers can reduce their electricity bills by adjusting the timing and amount of electricity use., and  the energy system can benefit from the shifting of energy consumption from peak to non-peak hours.


Key Points:


Demand Response


If you can reduce your energy demand temporarily when the grid is stressed, or the price of energy is high. You cut your energy cost and your participation is rewarded through payments from your Energy System Operator.


Demand Curtailment


Temporary or permanent reductions in electricity demand during times of peak demand on the grid are rewarded through cost savings, often called capacity or peak charges, which account for up to 30% of your electricity costs.


Energy Effiiency


Intelligent application of smart IoT controls can improve efficiency, improve comfort, cut energy cost, and reduce demand. Permanent curtailment of demand with EE will help your facility to earn more money from Demand Response Program.


Contact us today for a consultancy. We will find the best solution for you!

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