Be flexible with your flexibility
Be flexible with your flexibility – 3 new ways to make Demand Side Response work better for your organisation
23rd May 2019
With more organisations looking to become sustainable, Demand Side Response (DSR) products are becoming increasingly popular. DSR schemes allow organisations to gain extra revenue by changing how they use electricity. And DSR providers can deliver by either reducing their demand or taking advantage of onsite generation.
Here we look at how electricity suppliers like Drax are taking this to a whole new level by extending the money-saving benefits of DSR.
Read more below:
The huge growth in battery storage on the grid over recent years could start limiting the benefits of Firm Frequency Response (FFR) and similar grid schemes, such as STOR (Short Term Operating Reserve). Even so, there are still plenty of new DSR-related market opportunities for forward-thinking organisations. At least there are if they can be more flexible with their electricity consumption and work with the right partners.
To best manage your electricity, you can combine existing DSR schemes with these three opportunities:
1. Leverage the wholesale electricity markets
Traditionally, access to the financial benefits of the wholesale electricity markets has only been an option for larger generators. However, Drax is now working with flexible generators on a day-ahead or within-day basis, to access wholesale markets through a pooled supply of electricity. As both a consumer and a generator, you can access this service and potentially increase the value of the power you sell.
2. Benefit from high System Sell Prices
Drax has identified a growing opportunity for organisations to profit from the volatility of the System Sell Price (SSP). For example, in March 2018 during the ‘Beast from the East’ cold spell, we worked with key customers to reduce demand on the grid. This helped keep vital power flowing to the nation, while enabling those customers to better manage their own demand. In turn, this meant they achieved worthwhile profits by accurately predicting rises and falls in the half-hourly SSP.
These approaches to demand side flexibility can be complex and require more active management than existing grid-based schemes. It’s important therefore to choose a partner you can rely on to understand the market and your needs.
3. Finding the right partner
While different providers specialise in different areas (both in technology and the markets they access), you need to find one who’ll work in partnership with you. This is because DSR is a bespoke solution that requires the support of a specialist provider. In other words, it can’t be simply delivered and commissioned ‘out of the box’.
At Drax, partnership is at the core of everything we do. We’ll take your ideas and work with you to create a solution that suits your organisation and your power strategy.
Drax is an electricity supplier that’s happy to work with you – indeed, partnership is at the core of everything we do. We’ll take your initial ideas and, alongside you, create a solution that’s right for your business and supports your ongoing energy strategy.
To find out how Drax can help your organisation get more from Demand Side Response, please get in touch using our contact form.