Demand Side Response (DSR) refers to the practice of actively managing and adjusting electricity consumption in response to changes in the electricity grid's supply and demand conditions.
It enables consumers, such as industrial facilities, businesses, and even residential households, to modify their energy usage patterns during peak demand periods or when there is a strain on the grid.
By doing so, DSR helps balance the electricity grid, enhance its reliability, and reduce the need for additional power generation or infrastructure upgrades.
DSR can involve tasks like load shifting, load shedding, or even integrating renewable energy sources into the energy mix, ultimately contributing to more efficient and sustainable energy usage.
It’s a process that provides flexibility for businesses looking at ways to reduce costs and energy consumption and although the term 'flexibility' permeates all areas of business practices and communication, the concept of flexible energy consumption remains relatively unfamiliar on a universal scale.
DSR is the secret to preserving grid stability, while offering businesses an additional revenue stream, all achieved through the simple act of being flexible.
What You Need to Know
The UK power grid faces varying levels of demand throughout the day and prices fluctuate accordingly. Additionally, there is a growing presence of renewable energy sources being integrated into the system, such as solar and wind generation. The system needs to accommodate such changes, and Demand Side Response presents an adaptable solution for maintaining grid health and balancing the system.
Companies can participate in varying ways, including switching their power on and off at certain times of day, or transferring energy intensive processes to periods of lower grid demand. By slightly altering energy consumption patterns as a response, businesses are then entitled to a generous payment, incurring additional revenue for their flexibility.
Furthermore, the versatility of DSR enables companies from various sectors to engage and benefit from the programme. All that's required are details on operation hours, load profiles, equipment, and process descriptions. From there, experts can conduct a comprehensive analysis to identify the potential opportunities available.
The Key to Your Wider Net Zero Strategy
Participation in the DSR programme can provide a yearly revenue of approximately £30,000 per MW for a company over a four-year period. This additional capital can make a substantial contribution to a company's sustainability initiatives and provide essential funding for increasingly vital carbon reduction measures.
Depending on your business needs, you may be eligible to secure funding for the installation of generators, batteries, CHP and solar, which you can then use in the DSR programme to maximise your savings and revenue generation.
Many businesses are still struggling to ascertain which technologies are best for them, and in an ever-tightening economy, with increasing pressure on corporations to be actively reducing their carbon footprint and championing the move to net zero, understanding your numbers and payback methods for sustainability projects is imperative.
True leverages your live energy data and energy procurement costs, integrating them with your ongoing sustainability strategy. This creates a highly accurate investment grade insight into potential savings and forecasts.
Revenue generated from a DSR programme can be seamlessly incorporated back into your wider strategy, empowering your business to identify the optimal next steps towards achieving your personalised net zero objectives.
Our team has already signed hundreds of businesses up to the DSR scheme and invite you to apply today, here.