Demand response and energy efficiency both affect customer end-use of energy. Demand response programs and technologies, as well as energy efficiency techniques, have been heralded in recent years as a great advancement in providing customers new options for managing their energy costs and use along with providing energy suppliers new options for assuring reliable supply at reasonable costs. Proponents of demand response programs tout numerous benefits from such options, including improved system reliability, cost avoidance, greater market efficiency, improved risk management, reduced negative environmental impacts, improved customer service, and market power mitigation. Crisis and near-crisis conditions and events have spurred the development and practice of demand response in many states and regions.
The electric utility industry generally has shown a great deal of interest in expanding the use of demand-response programs and technologies. Utility regulators at the state and especially the federal level have shown strong support for expanded use of demand-response resources.
Meanwhile, energy efficiency is the practice of decreasing the quantity of energy used while achieving a similar outcome of end use. This practice may result in increase of financial capital, environmental value, national security, personal security, and human comfort. Individuals and organizations that are direct consumers of energy may want to conserve energy in order to reduce energy costs and promote economic, political and environmental sustainability. Industrial and commercial users may want to increase efficiency and thus maximize profit.
By reducing emissions, energy efficiency is an important part of lessening climate change. Energy efficiency facilitates the replacement of non-renewable resources with renewable energy. Energy efficiency is often the most economical solution to energy shortages, and is a more environmentally benign alternative to increased energy production.
This report on Energy Efficiency & Demand Response takes a look at both these technologies, which are more or less inseparable from each other. One aids the other develop. The research report focuses demand response enabling technologies and how they aid customers achieve energy efficiency. Through case studies, the report establishes the relationship between energy efficiency and demand response. Major regulatory barriers and growth factors are also described in-depth
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