Will Demand Response Work for You?

Demand Response

The facility’s load-use profile obtained intelligent monitoring with a demand factor of 1.12. Will demand response work for you?

Situation

The facility’s load-use profile obtained intelligent monitoring with a demand factor of 1.12. With such a low demand factor very little could be done to reduce since the facility was already operating close to minimum demand. The facility was also unable secure any significant benefit from local demand response programs short of a partial or complete shutdown. In fact, there was very little to be gained from typical load management strategies.

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Lesson

will demand response work for you?

Energy managers should be putting effort towards energy efficiency projects. Specifically, on equipment that operates 24 hours per day like some lighting, cooling or 24 hour processes. In this situation with low demand factor, there is nearly a 1 to 1 relationship between energy reduction and cost reduction. As overall energy usage drops, the demand will drop proportionately and along with its demand charges. Maximize energy efficiency on 24 hour equipment and pass on demand response when demand factor is close to 1.0.

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