Three reasons why demand response is good for the grid and your business

Demand response (DR) operates on the principle that when your business reduces energy consumption usage during times of peak demand, you’ll be rewarded based on how much you curtail. At the end of the day, that creates a win-win scenario for everyone — you’ll have more money to invest in other ways along with a lower electricity bill, and the power grid will have more electricity supply in the tank to help get through periods of peak load.

Now, let’s examine how the model of DR and demand-side management leads to three key reasons for making it part of your company’s operations:

At the conclusion of each DR season, you’ll receive payment based on the total KW reduction your company achieved during the designated time period. You have complete control over how much energy your business saves during peak hours according to an energy use reduction plan our team tailors based on your specific electricity use. There are no costs, fees, or financial risks for participating in the program — just put your reduction plan in place when we notify you and let the benefits of energy curtailment take hold.

By reducing your electricity consumption during times of high demand, your business will lessen the impact of high prices that typically occur during these peak electricity demand periods. As a DR participant, you’ll also be more in tune with the energy market and when periods of electric grid instability are imminent. That alone can help you prepare for what’s coming and, specifically, avoid voltage reductions that could damage equipment or cause disruption.

Besides providing direct benefits to your business, participating in a DR program also helps the overall grid. By becoming part of a universe of businesses committed to peak demand reduction, your participation helps supply and demand stay balanced, reducing the risks of brownouts and blackouts. At an even higher level, this can eliminate the need to bring inefficient power plants back online or to build new generation units.

Learn more about demand response and how our team can tailor a solution for your business.