Task 15 on ‘Network-driven’ demand-side management (DSM) was concerned with reducing demand on electricity networks (grids) in specific ways which maintain system reliability in the immediate term and over the longer term defer the need for network augmentation.
Problems in electricity networks were becoming significant in countries where electricity demand was increasing and network infrastructure (‘poles and wires’) were ageing. As loads grow and infrastructure reaches the end of its economic life, the potential cost of augmenting and providing support services for electricity networks is increasing exponentially.
Task 15 identified and developed a wide range of DSM measures that can:
• relieve constraints on electricity distribution and/or transmission networks at lower costs than building ‘poles and wires’ solutions; and
• provide operational support services for electricity networks, achieving peak load reductions with various response times.
The objective of the Task 14 work was to gather experiences gained in operating White Certificates or White Certificates-like schemes in countries where this policy is or will be practiced (as in Great Britain, France and Italy) or discussed (as in the Netherlands). To complement these schemes, knowledge gained through focused research projects was also included.
Considering that relatively little experience involving the implementation of White Certificates schemes existed, the Task experts relied on themselves and those with expertise in subjects as diverse as tradable certificates theory, demand-side management policies in the residential, transport and tertiary sectors, and the existing British, Italian and French White Certificates schemes. The Task was organized around five workshops to discuss with national practitioners and explore a set of issues – expectations, policy/principle issues, organization/practical issues, and interaction with other trading schemes and with other EE policies.
The three main objectives of Task 13 work were to:
1) identify and develop the country-specific information needed to establish the potential for demand response,
2) perform the market and institutional assessment needed to set realistic goals for the contribution of DRR to sector objectives, and
3) mobilize technical and analytic resources needed to support the implementation of DRR programs and track their performance.
This Task has developed action-oriented tools that markets and regulators can use to incorporate DR in their daily operating practices. The tools are designed to provide methodologies and research resources to use when evaluating the best business case structure for DR in a market. All of the project tools are organized into the book, Task 13 Project Guidebook, which provides a roadmap for assessing DR integration into the market. In addition to the tools, the book can be used as a teaching guide for a DR professional certification programme.
This Task was prepared but not launched. The work is now done by the 4E Energy Technology Initiative.
Task 11 increased the motivation of smaller customers to save energy through energy end use presentation, modify their energy demand profile through time of use pricing and provide mechanisms for their bidding demand into competitive energy markets.
Task 10, Performance Contracting, facilitated the greater use of Energy Performance Contracting (EPC) and other Energy Service Company (ESCO) financial options and services. This was a 3-year business-to-business Task, limited to efforts involving the performance contracting arrangements and other ESCO-related financial options and services between client, businesses and all types of companies offering these services.
Task 9 investigated how the roles of local authorities in demand side management are affected by a liberalised market and in the light of these changes and examples of good practice, to prepare guidelines for improving the local authorities’ service delivery in this field.
Task 8 evaluated and promoted Demand Side Bidding (DSB) as a means of improving the efficiency of the operation of the electricity supply chain. The characteristics, strengths and weaknesses of existing DSB schemes and creating guidelines for the development and enhancement of new schemes was fulfilled.
>DSB is a mechanism that enables the demand side of the electricity market to participate in energy trading. More specifically, DSB allows electricity consumers to offer a specific reduction in demand, at a given time, in return for a specified income. DSB can improve the efficiency of the electricity supply chain by increasing competition in the wholesale energy market and by acting as an alternative to conventional generation. For example, DSB can be used to balance electricity supply and demand and also maintain the quality and security of supply. In addition, DSB could have important environmental and energy efficiency benefits in some situations when it is used as an alternative to conventional generation.
The need to meet Kyoto targets and to reduce greenhouse gas emissions through greater energy efficiency provides the driving force behind the new Market Transformation Task. Utilising the forces of the market and transforming those markets to better respond to energy efficient products helps to contribute to a more sustainable path whilst still maintaining a future vision of economic prosperity.
Thirteen countries and the European Commission participated in Task 6, which commenced in 1997 and was completed in 2000. The objective of the Task was to develop mechanisms for promoting the implementation of demand-side management (DSM) and energy efficiency in restructured electricity industries and competitive electricity markets.