Customers are increasingly enrolling in—even demanding—demand response programs, and their hunger for options to reduce or shift their electricity usage will only increase in the coming decade, according to SEPA’s 2019 Utility Demand Response Market Snapshot.
The first key DR trend listed in the SEPA market snapshot is based on a report from The Brattle Group, which estimates that 200 GW of economically feasible load potential across the country could come from demand response by 2030. That compares to the 2018 DR-enrolled capacity of 20.8 GW, almost a 10-fold increase. With an estimated 20% of peak load levels by 2030, demand response and load flexibility could soon save the U.S. energy sector more than $15 billion each year.
Dr. Ahmad Faruqui, principal at The Brattle Group and one of The Brattle Group report’s lead authors, delivered the keynote address at Virtual Peaker’s Innovation Forum in October.
Another SEPA insight is that technology’s role in demand response will continue to grow, as innovation—coupled with regulatory and market trends, plus the integration of carbon-reduction programs—is predicted to lead to increased DR adoption.
SEPA also highlights how utilities are leveraging multiple technology types, integrating options like thermostats and battery storage to provide larger savings.
At Virtual Peaker, these market trends are nothing new. We encourage you to watch a video of one of our clients in Glasgow, Kentucky demonstrating that The Utility of the Future is in Rural Kentucky. We encourage you to download the related case study.
As the energy storage market expands, utilities are realizing the value of aggregated energy storage as grid assets. With its Resilient Home program, Virtual Peaker client Green Mountain Power (GMP) is shifting away from meters so customers can use batteries to measure energy usage. GMP currently offers the largest residential demand management program in the country.
Contact us if you want to speak with someone on our customer support team or request a Virtual Peaker demo.