A new solution shifts electricity consumption away from peak times, balances the grid and reduces the need for increased energy production. By adjusting consumption to match fluctuations in renewable energy generation, the solution maximizes the use of wind and solar power generation. Less transmission capability is needed and capital tied-up in reserve energy resources can be directed towards smart energy development.

Demand Response can be used in the real world of dynamic energy markets, distributed roles and large numbers of customer sites. It elevates customers today to be real participants in the future smart grids and energy markets developing right now.

The solution is most beneficial on the market- and national-level scope. Implementing it into energy systems would enhance planning and implementation of the balance in production and consumption.

As a result, the market would not need to provide as much transmission capability as it does today and national capital tied-up in reserve energy resources could be directed elsewhere.

In addition, the solution would enable new production resources to be connected to the distribution grids that would otherwise not be able to sustain such distributed two-way energy flows.

Maximizing renewable energy generation

© Tomgriger

The solution is highly beneficial especially for maximizing the benefits of renewable energy generation because it adjusts consumption to the fluctuations in generation associated with renewable energy like wind and solar power. Since there are practically no marginal costs for producing solar and wind energy, the solution  enables the full use of this energy at all times and allows us not to limit solar and wind production.

Without the solution, renewable energy production needs to be limited as has been done in previous implementations around Europe.

The solution manages to combine balancing of the electricity system and maximum use of renewable energies at all times by shifting consumption to make use ofthe extra production. It can also be used to shift usage of stored energy in EV batteries, supercapacitors or other storage solutions.

“The solution enables us to achieve balance in the electricity system in a way otherwise impossible without limiting the energy production of renewable resources,” says Development Director Jan Segerstam from Empower IM.
 
"The solution is key in making full use of renewable energy resources that will become the backbone of production in future energy ecosystems."

Improving SMEs competitiveness

The solution also allows for better planning of interim production for small and medium sized industry sites.

For example factories that produce an interim product like sawdust for particle boards can reduce the cost of the final product by shifting production of sawdust towards the night, when energy demand is smaller and therefore cheaper.

Thus, the solution would help shift interim production based on market information with less overhead than before. As a result, options previously open only for large market players are opened up for smaller companies.
 
Automated Demand Response processes can also benefit smaller industries through aggregation and single-site installation.

Market signals to shift home consumption 

For instance, Empower IM together with There Corporation are developing a solution that incorporates a device that would enable shifts in a household’s energy consumption based on the market signals. This would deliver efficient heating or air conditioning with less emissions.