Demand Response Programs Will Reduce Peak Load in the US by 10% by 2020

Pages: 10 Published: August 01, 2010 Report Code: GDPE0014VPT

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Demand response is an effective tool for reducing overall energy use and cutting peak load. Demand response programs will play a major role in reducing peak electricity demand in the US by 2020. With such programs in place, peak demand could be reduced by about 100 gigawatts (GW), or 10%, by 2020, compared to the baseline scenario. This would result in savings of over $70 billion over 20 years through avoided energy production, energy distribution and energy generation costs. Without any demand response programs, peak demandis estimated to grow at an annual rate of 1.7%, from about 810 GW in 2009 to approximately 950 GW by 2019. A smart grid-enabled demand response program would provide benefits to small and individual as well as large consumers, unlike traditional demand response systems that only benefit the latter. Independent studies by federal agencies have affirmed the potential of demand response to reduce peak demand. Demand response has traditionally been restricted to large, industrial consumers of electricity in the legacy grid, while residential and other small consumers were left out. However, the large scale penetration of Advanced Metering Infrastructure (AMI) and smart meters will allow utilities to exploit the potential of small consumers to improve energy efficiency through demand response.


Potential of demand response programs to reduce peak load in the US smart grid industry

Key drivers for market growth of demand response technologies

Stake holders in demand response market for smart grid

Possible barrier to implementation of demand response programs in smart grid industry

Reasons to Buy

Identify key growth and investment opportunities in demand response technologies for smart grid sector

Gain insight on the demand response initiatives in US power industry

Developing strategies for market penetration

Facilitate decision-making based on knowledge of drivers, barriers and benefits of demand response programs

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