Share On

DSM, also known as Demand Side Response (DSR) or Energy Demand Management, is to alter or control customers’ demands for energy at specific times by awarding financial incentives or changing behavior through education. DSM helps in reducing system peak demand by encouraging customers to decrease energy consumption during peak hours.

The aim is to increase energy efficiency by balancing supply and demand. This leads to maintaining minimum demand levels, which not only reduces waste but also decreases GHG emissions and other such pollutants. It also prevents a shutdown of strategic base load plants and emergence of new power plants to keep up with the demand.

The Importance of DSM:

  • Cost Effectiveness: Introducing DSM or other energy efficiency efforts with the assistance of integrated resource planning, leads to decrease in total cost of meeting energy demand. Not only are there fewer requirements for new power plants or distribution networks, but there is a significant decrease in consumers’ expense.

  • Environmental Factors: DSM leads to decrease in energy consumption, which results in moderation of greenhouse gas emissions, alongside encouraging addition to the company’s public image.

  • Reliability: Reducing energy demand results in system reliability, hence preventing problems in the network.

Forms of DSM:

  • Peak Clipping: There is a decrease in peak demand by “clipping” high demand period and reducing utility load during peak hours. It is often accomplished by directing signals to customer appliances, therefore controlling consumer loads in the process.

  • Conservation: This method focuses on the decrease of energy consumption by consumers. For instance, educating them to use more energy efficient appliances. There is a decrease in both demand and total energy consumption.

  • Load Shifting: This occurs when shifting load from on peak to off peak periods. Though there is a considerable decline in peak demand, total energy consumption is not affected.

DSM Techniques:

  • Direct Load Control: With the help of a remotely controlled switch, it directs signals to customer’s appliances, turning them on or off. This regulates the power an appliance consumes. It is used by utility or energy provider to reduce customer’s energy demands during peak time.

  • Load Limiters: This reduces the flow of electricity so that only the necessary appliances can be operated. In the case of overconsumption, the limiter shuts off electricity entirely.

  • Frequency Regulation: Difference between power generation and demand on the grid results in the grid frequency to shift away from its nominal value. When demand exceeds generation, required energy is supplied by the kinetic energy of generators’ rotors. This causes the synchronous machine to slow down, decrease in grid frequency. In the case of generation exceeding load, there is an increase in grid frequency.

  • Time of Use Pricing: This is a rating scale that reflects the cost of energy during peak and off-peak hours of the day. Such a plan can be called Time of Use rate plan, under which the consumer pays according to the energy utilized and the time of consumption.

  • Demand Side Bidding: This helps in improvement of operational efficiency in energy supply chain, as it encourages participation of the consumers in energy trading.

  • Smart metering:  This involves installation of an intelligent meter in consumer’s residence, accompanied by regular reading, processing and providing feedback on consumption. This intelligent meter not only measures consumption but can remotely switch off the energy as well as control maximum consumption.

Demand Sensing: Improving Inventory & Customer Fulfillment Levels

White Paper By: NexInfo Solutions, Inc

Demand sensing can improve demand planning accuracy, reduce inventory while developing customer fulfillment levels, and also increasing profits which has been a challenging part for many companies. What is demand sensing process? How can effective Demand sensing process help improve customer fulfillment levels while also avoiding increased inventory? This whitepaper on...

Role of Demand Management in Supply Chain

White Paper By: NexInfo Solutions, Inc

Why should companies have an effective process for Demand Management? Organizations are in a competition of applying new technologies and analytics to make their supply chains more efficient,  reduce inventory, and improve customer satisfaction while improving profitability. This implies the need to have an effective process for demand management. What is demand...

6 Steps to Performance Management Best Practice:A Practical Guide

White Paper By: Cornerstone OnDemand

Introducing a Performance Management strategy to your organization is an essential step in achieving organizational maturity.  When effectively implemented, performance management best practices result in a wide range of benefits for employees, managers and companies. This whitepaper aims to provide not-for-profit agencies in the community-based employment and training sector with a...

Cloud Computing Success Demands the Right Cloud Connectivity

White Paper By: GTT Communications

Cloud connectivity has moved beyond the tipping point, with the majority of enterprises using some form of cloud computing in their business. The white paper on “Cloud computing success demands the right cloud connectivity” highlights why it is critically important for enterprises to use private cloud connectivity, rather than the public Internet, to access their IT applications...

Achieving Supply Chain Excellence : Your Journey Forward

White Paper By: Demand Solutions

Your new path to supply chain excellence!! Nobody disputes the value of an efficient, collaborative, carefully planned supply chain. But it’s probably fair to say that for most companies, true supply chain excellence still lies ahead. This whitepaper on “Achieving Supply Chain Excellence: Your Journey Forward” looks at the new imperatives for supply chain maturity, and...

Sales and Operations Planning Process in Supply Chain

White Paper By: NexInfo Solutions, Inc

 Importance of an Effective Sales and Operations Planning (S&OP) Process in Supply Chain: Companies that have adopted Sales and Operations Planning (S&OP) processes are gaining the visibility and agility to improve supply and demand matching, promotional planning, and product management. What is the need of Sales and Operations Planning(S&OP)...

follow on linkedin follow on twitter follow on facebook 2018 All Rights Reserved | by: www.ciowhitepapersreview.com