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Demand
Response
Demand response (DR), (sometimes called
demand-side management, peak shaving or load shifting), means actions
that result in short-term reductions in peak energy demand. LAS believes
that a fully integrated energy management program should incorporate
load management measures. While load management may or may not result in
the use of less energy, it shifts the timing of energy consumption and
is likely to become increasingly popular as the Province and its
regulatory agencies continue to develop financial incentives.
For example, the Independent Electricity System
Operator (IESO) supports demand response because it helps alleviate the
need to expand generation capacity. The IESO “offers a number of
opportunities for large-volume users or large groups of energy consumers
to shift their electricity use to off-peak periods:
Price response: When supplies of electricity are tight, the wholesale price
is typically higher. This provides an incentive to large-volume users to
reduce their consumption if prices rise. The market is structured so
that consumers can agree to cut consumption at pre-determined price
levels.
Reserve Power: The wholesale market also offers some creative solutions
for providing reserve power. In the wholesale market, generators receive
payments to be on call to provide reserve power. Large-volume consumers
can also provide reserve power by agreeing to cut consumption if reserve
power is needed. By allowing consumers of electricity to provide some of
our reserve requirements, we reduce the need for additional generation
just to meet peaks in demand.”
Demand response activities range in cost and
effectiveness depending on the size of the application, time period when
it is utilized, and complexity of the technology employed. Some examples
of common demand response activities include:
- Modifying the start up times of large energy
consuming devices such as water and wastewater pumps
- Employing and/or adjusting Building Automation
Systems (BAS) to optimize the start-up and performance of HVAC equipment
and alarm systems
- Incorporating lighting applications that use
timers and dimmers
- Utilizing local renewable behind-the-meter
generation and dual-fuel generators
- The PeakSAVER program for residential air
conditioners
- District Heating and other types of combined heat
and power (CHP) projects
For more information please
contact: Scott Vokey, LAS Energy
Services Coordinator, 416 971-9856 | 877 426-6527 ext.
357 | SVokey@amo.on.ca
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