Demand Side Management as a Community Investment – an SEU Approach

Demand side management (DSM) has been a tool of electric utilities for nearly four decades 1 and recently has been enlisted in efforts to decarbonize energy ser- vice. DSM programs deploy energy efficiency meas- ures, conservation efforts and load-management ap- proaches to shape loads. In addition to environmental benefits, DSM can bring rewards of grid stabilization, grid decongestion, valley filling, and peak demand re- duction or ‘peak shaving’. These effects lower costs for generation, transmission, and distribution and reduce long-term capital requirements. In addition, end-users can receive benefits in the form of bill savings, utility incentive payments, and tax credits.

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