DSM (Demand Side Management)
‘When a business stops drawing just 1 megawatt of power from the grid, 300 homes can maintain power.’
Reducing electricity consumption for just four hours when asked, can earn you money and meet environmental goals.
Electricity cannot be stored economically, so at every instant in time, supply must equal demand. During times of peak demand the equation can be balanced by generating more electricity or reducing electricity consumption.
In order to reduce electricity consumption at times of peak demand, the Independent Market Operator operates a Demand Side Management program. Amanda has several DSM portfolios and is funded by the IMO for providing DSM. Amanda pays participants in the program to be on standby to reduce their consumption to an agreed level as required.
DSM is very rarely required, on average only a few hours a year. By voluntarily lowering your demand for electricity, your businesses helps to stabilize the gird, and you are paid for providing this important service.
Rather than building peak supply power plants that might only run for a few hours a year, DSM offers an economical and environmentally efficient alternative.
Qualifications to join the DSM Program:
- Electricity supply from the South West Interconnected System (SWIS).
- Average electricity spend > $10,000 per month.
- Ability to reduce grid electricity demand occasionally.