BEC Bagalkot

Unit – IV Demand Side Management

Introduction – Introduction, Energy efficiency and DSM,
Motivation for DSM, Institutional requirements and Incentives,
DSM Techniques, Load control, Effects of DSM on load shape, DSM
program approaches, Analysis of DSM options, Delivery
mechanism for DSM program, DSM program design and
implementation, Implementation issues, International experience
of DSM, Utility-Initiated DSM action in India [08 Hrs]

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 Load Management as DSM Strategy
Load management is the
concept of changing the
consumer’s electricity use

Relative generation cost

pattern with the purpose of 1.0
improving the effective
0.8
utilization of the generating
capacity and encouraging the 0.6
best use of electricity by all
0.4
consumer categories. The
load factor is the ratio of 0.2
average power to peak
power. Higher the load factor 0.2 0.4 0.6 0.8 1.0
lower is the peak demand Load Factor
and hence lower is the cost Fig.: Variation of generation cost with
of generation. load factor

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Load control can be achieved in different ways. Firstly, the consumers
may control their loads voluntarily by altering the use of their
equipments in response to the tariff signals. Secondly, the utilities may
control the consumers’ loads using signal activated either remotely or
at the point of use.
The control techniques, for load control, can be classified as:
Direct load control technique: The utility controls the consumers’ load
without any interaction with the consumers. Eg. power line carrier or ripple
control system as used in Europe.

Local load control technique: In this technique the consumers control the
loads. Eg. Use of Circuit Breakers OR Interlocking Devices at consumer
premises.
Distributed load control technique: In this technique the consumer control
their loads in communication with utilities. Used mainly for large industrial
consumers

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 Application of Load Control
1. Peak clipping: In this application some of the consumers’ appliances are
switched off, by direct load control for some time.
2. Valley Filling/Load Shifting/Peak Shifting: In this application some of the
consumers’ load usage timing are shifted to off peak timings. Tariff
incentives are provided.

Peak Clipper
Load Shifted

Load
Load

12 6 12 6 12 12 6 12 6 12
AM Noon PM AM Noon PM
Hours of the day Hours of the day

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3. Load Shedding: During periods of power shortage some dispensable
appliances are switched off

4. Strategic Energy Conservation: It means encouraging the use of high

efficiency equipments.

5. Strategic Load growth: These loads are the ones which produce a
general increase in sales beyond any increase from valley filling.

6. Flexible Load Shape: The utility is allowed to adjust the load shape to
meet the reliability constraints.

7. End Use Energy Conservation: These programs reduce the consumers’

consumption of energy thereby reducing their electricity bills.

8. Least cost Utility Planning: It is an established fact that investment in

energy conservation and load management activities are less expensive
per kW than addition of new generation facilities
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 DSM Implementation Issues
The factors which restrain the consumers to move towards energy
conservation are:
1. Lack of information: Information gap is one of the major
constraints in the implementation of DSM program.
2. Cost of energy efficient equipment: Most of the consumers are
not willing to purchase high efficiency equipments due to their
high initial cost.
3. Tariff: In many developing countries the tariff for some categories
of consumers is very low, even lower than the cost of electricity
generation.
4. Poor power quality and reliability: In many developing countries,
electric power supply is characterized by large fluctuation in
voltage and frequency causing damage to equipment. Planned and
forced outages are also very common.
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5. Unavailability of efficient equipments: Many types of efficient
equipments are not available in developing countries. Efficient
refrigerators, air conditioners and evaporative coolers have not
been marketed in developing countries.
6. Small scale sector: Many devices e.g., ballasts, lighting fixtures,
small motors, pumps, fans, coolers etc. are manufactured in small
scale sector. Most of these devices are inefficient.
7. Retirement of Inefficient and Old Equipment: In developing
countries the equipments are repaired again and again and hardly
thrown away. Most of the time the repair leads to increasing
inefficiency because sub-standard material and components are
used in repair.

8. Shortage of skilled staff: The shortage of skilled staff who can

provide the technical assistance in identifying, installing and
maintaining efficiency measures.
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Analysis of DSM options: Different criteria for analysis of various
DSM options for domestic, commercial, industrial and agricultural
sectors are:
 Required load shape
 Availability of product or technology
 Consumer acceptance (financial or non financial)
 Saving potential
 Reliability of technology
 Utilities revenue considerations
 Ease of program design, implementation, monitoring
and evaluation
 Availability of performance and cost data

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 Appropriate DSM options - Sectorwise
Residential Sector:
(a) Improved refrigerators
(b) High efficient lighting
Commercial Sector:
(a) Improved air conditioning
(b) High efficiency lighting
(c) New constructions
Industrial Sector:
(a) Efficient motors and drives
(b) High efficiency lighting
(c) Power factor correction
(d) Time dependent tariff
(e) Energy audit
Agricultural Sector:
(a) Efficient irrigation pumps
(b) Use of RE water pumps
BEC Bagalkot (c) Power factor correction 10
 Strategies to Implement & Promote DSM Program
Strategies which can lead to successful implementation of DSM are:

1. Market transformation through voluntary retirement: The

utilities should engage in direct negotiations with manufacturers
to ban manufacture of low efficiency devices.
2. Energy efficiency labeling: All participating brands of
refrigerators air conditioners, fans, coolers, pumps etc. should
carry an efficiency label which indicates efficiency, annual kWh
consumption etc.
3. Customer Oriented Program Design: Each customer has unique
energy requirement and financial position.

4. Public private sector partnership: Design and development of

energy saving devices needs special knowledge and skills.

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 Various approaches have been adopted to promote Demand
Side Management as:
 General information programs for customers about energy efficiency
options.
 Information programs about specific DSM techniques appropriate for
industry
 Financing programs to assist customers to pay for DSM measures
 Turnkey programs that provide complete services to design, finance,
and install a package of efficiency measures at the consumer end.
 Alternative rate programs by the utilities like time-of-use rates and
interruptible rates to shift loads to off-peak periods.
 Schemes and incentives to invest in energy conservation and efficiency
programs
 Incentives for new innovations and technologies for Load
Response/Load Management Programs.
 Mandatory efficiency standards for equipments.
 Preference for high efficiency devices by government and semi
government agencies.
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Reference
https://powermin.nic.in/en/content/energy-efficiency

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 Questions ?

Contact
suresh.j@ieee.org

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THANK YOU
BEC Bagalkot 6 April 2020 Power Factor – Suresh. H. J 15
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