Multiple participants for multiple benefitsThe traditional centralized model of linear power generation and delivery through limited market or monopoly conditions is giving way, especially on a local level, to more diverse, dynamic, and complex systems with multiple actors and multilayered energy, information, and money flows. These are called Distributed Energy Systems (DES). The changes are in response to renewable energy, smart technologies, and other new opportunities, as well as new policy goals – such as reducing emissions and extending energy access. DES can be customized to match the consumer’s requirements as well as enabling actors to shape local generation and consumption in response to market price signals to achieve the lowest overall cost of energy.
DES provide local resilience
Local, decentralized and controllable DES generation and storage sources can be designed to provide the end user with local resilience or even full independence from the grid. The benefits accrue to grid operators as well: DES can manage demand to reduce peak loads when infrastructure is nearing capacity, thus postponing the need for major grid reinforcement investments.
A cleaner ecosystem with improved efficiency
DES that rely on clean energy generation or hybrid systems, have a reduced impact on air quality and help maintain a greener and cleaner ecosystem. DES coupled with other traditional energy conservation measures can improve efficiency across the energy system. Integrated real time data monitoring and multipoint controls at both plant, building and network level can improve asset utilisation and plant efficiency and ensure power, cooling, heating and lighting are used only when and where they are needed.