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How shifting demand for power helps green the grid
22/11/2023
6 min read
Feature
UK grid operator ESO and several retailers are operating schemes that allow both domestic and corporate consumers to time-shift some of their electricity load in order to cut the use of expensive and carbon-heavy generating plant. And consumers are paid for their efforts. Andrew Mourant reports.
Most UK households and businesses will recall the level of last winter’s electricity costs with a shudder after markets were spooked by Russia’s invasion of Ukraine. But at least the spectre of blackouts may have hastened industry initiatives to take some of the sting out of future bills.
Spreading the demand load through dark cold months has been a perennial headache for National Grid ESO (Electricity Service Operator). Increasingly it’s leaning on financial inducement to do the trick.
Last winter, ESO responded to fears over gas shortages by joining forces with electricity suppliers and aggregators to launch its Demand Flexibility Service (DFS). Its aim is self-explanatory: to incentivise volunteer consumers and businesses to become flexible about when they use power. Here, the role of aggregators – energy service providers which can increase or moderate the electricity use of a group of consumers according to grid demand – looks set to grow.