With the increasing share of intermittent RES in the energy mix a costly expansion and overhaul of the electricity grid may be needed. DR measures and dynamic tariffs in industrial production may facilitate the network management and thereby relieve the grid making room for a better integration of RES. DR can contribute to reduce peak demand by shifting flexible energy needs to times of a better overall supply situation in the grid. Consequently, the need for power plants to serve the peak demand such as gas turbine power plants can be reduced, which would consequently reduce emissions.
The DRIP project will demonstrate the benefits of the participation of large industrial customers in the electricity market. Those benefits will imply that the customerís energy demand will be optimized from an economical point of view leading consequently to an increase of energy efficiency in the electricity grid. By reducing the energy usage during peak hours and shifting it to times when less energy is being consumed and / or the demand can mainly be covered by RES generated energy, reduction of CO2 emissions will be triggered by economic advantages.
- The business model will pave the way for specialized organizations offering consultancy in the field of Demand Response (DR).
- Additional savings are made by avoiding an increase in energy consumption and especially use of peak capacity.
- DR concepts include price based tariffs and energy consumers are able to save money by following them.
- A roadmap to implement DR in industry will be presented.
- 202 TWh annual energy savings could be realized by DR programs in the EU.
- EUR 50 billion could be saved by investments relating to peak generation capacity.
- In order to calculate CO2 savings, the hypothetical emissions of gas plants that would have to be constructed to cover peak demand have been taken as a reference. These would correspond to an average value of reduced emissions of 500 g CO2 per kWh. The result of the assumption described above is that DR could achieve 25 % of the EUís 2020 target concerning CO2 emissions reductions.