
Why is Demand Side Management important?

What are the benefits of Demand Side Management?
Demand Side Management offers three considerable benefits:
- Firstly, it helps reduce market prices for electricity by freeing the utility from the expense of building backup (and sometimes fossil-fueled) plants that are brought online to cope with peak demand
- It reduces the costs of managing the electricity grid
- By smoothing out demand, it results in a more efficient and dependable electricity network

- Customers can save on their energy bills as they shift demand to off-peak hours, particularly if they are large businesses or industries
- The environment, since renewable energy becomes more user-friendly
- Network operators can ensure network reliability, because DSM programs give them the tools to schedule usage and therefore avoid the risk of unexpected surges in demand that can cause power outages
- The community overall, which is provided with more reliable electricity without building new power plants
- Utilities, because they avoid having to build new generating capacity to meet peak demand loads, and can avoid the expense of buying electricity on the open market in the event of a sudden spike in demand
What is the difference between Demand Side Management and Demand Response?
How to take part in a Demand Side Management program?

For large energy users, the first step on the customer side of any Demand Side Management program system such as a Demand Response is to carry out an in-depth analysis of on-site consumption.
The next step is to install metering technology to enable the user to interact directly with the utility. After that, the user is ready to implement its energy management plan in response to communications with the utility.