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Utility DSM

Based on the Central Electricity Authority’s (CEA) Load Generation Balance Report 2015-2016 released in May 2015, India’s electricity sector had an energy deficit of 3.6% (38,138 MU) and a peak deficit of 4.7% (7,006 MW) in 2014-2015. For the year 2015-2016 the anticipated energy deficit is 2.1% (24,077 MU) and the anticipated peak deficit is 2.6% (4,108 MW).

With 300 million people still lacking access to electricity and per capita consumption expected to grow, both energy efficiency and increased generating capacity are required to meet India’s goals on 24×7 energy access, energy security and CO2 reduction. Given their direct connection to consumers, utilities are well placed to promote energy efficiency through Demand Side Management (DSM). DSM is a concept in which a utility manages the demand among its customers to meet its current or future needs. It can be implemented either directly through utility-sponsored programs or through market intermediaries such as ESCOs.

AEEE advocates Energy Efficiency as the first fuel in meeting India’s goals on electricity access, the cheapest, fastest, cleanest means of achieving India’s energy access and energy security goals. Advocating utility DSM as a critical component of Energy Efficiency, AEEE has developed the following

  • Advisory on the capabilities and requirements of SDAs, in collaboration with SDAs, utilities, discoms, ESCOs and EE consultants
  • Business model for utility-affiliated ESCOs, with participation from Wipro EcoEnergy and utility BYPL, for utility-driven Energy Efficiency projects
  • Utility DSM advisory for CERC and BESCOM, with recommendation for EE programmes in commercial and public sector buildings

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