Demand flexibility is putting consumers in control
A smart power revolution is underway putting your business in control of how, when and from where it consumes its energy. At last week’s Energy Live 2016 Open Energi’s David Hill explored how technology can unlock demand flexibility to deliver maximum value from your assets – connecting industrial equipment, batteries and self-generation – and coordinating their behaviour in real-time to turn the vision of a smarter grid into reality.
David was joined by Steffan Eldred, Senior Energy Optimisation Manager at Tarmac, sharing their approach to demand flexibility.
The move to a low carbon economy coupled with rapid advances in technology and innovation are transforming electricity supply and demand. Grid agility and flexibility are essential as we move away from models of centrally dispatched generation and incorporate more intermittent renewable energy generation onto the system.
This flexibility can be provided in a variety of forms, from demand side response (DSR) and energy storage to new build gas generation. However, there is a clear merit order emerging in terms of both the carbon and consumer cost of these offerings.
DSR is the cheapest and cleanest form of flexibility. At its core, it is an intelligent approach to energy that enables aggregators to unlock flexibility in our demand for energy to build a smart, affordable and secure new energy economy.
The technology can be used to invisibly increase, decrease or shift users’ electricity consumption, enabling businesses and consumers to save on total energy costs and reduce their carbon footprints, while at the same time enabling National Grid to keep the system in balance.
It is part of a wider energy market picture that must focus on flexibility and achieving the lowest cost for consumers. If just 5 per cent of peak demand was met with flexible power, the response would be equivalent to the generation of a new nuclear power station, without the huge costs to consumers.
Tarmac is one business benefiting from this approach. The company has been a pioneer of DSR, partnering with Open Energi to install Dynamic Demand on over 200 bitumen tanks at 70 asphalt plans across the UK. What this means is the heating elements in each of those tanks, which keep the bitumen warm, can switch on or off in seconds to help National Grid balance electricity supply and demand.
Collectively Tarmac’s tanks are providing the grid with capacity that can be shifted in real-time, so they’re able to use more when there is a surplus – for example when it’s particularly windy – and less when there’s a shortfall. Its enabling Tarmac to help build a smarter, more responsive energy system which is paving the way for more renewable power and reducing the nation’s reliance on fossil fuelled power stations.