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Demand side management impacts on electricity network vulnerability

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Document pages: 16 pages

Abstract: The demand for electricity is undergoing considerable spatial and temporalchange. With the uptake of efficient technologies and increasedelectrification, a better understanding of how potential changes in demandpatterns can affect network reliability is necessary. We quantify themacro-economic impacts of potential future changes in demand profiles for anelectricity network undergoing generation shortages. Applied to Great Britain,potential savings or losses are assessed for changes to peak demands under fourdifferent load profiles: (i) current day, (ii) widespread uptake of efficientappliances, (iii) deployment of heat pumps, and (iv) moving to an idealisedfully balanced load profile. Considerable variation in economic disruption isobserved both between different demand profiles and across Great Britain. Whenthe networks generation capacity is severely disrupted, we estimate hourlymacro-economic impacts to increase by up to £1.23 million peradditional GW of national electricity demand. A similar reduction in impactscan be achieved if peak demands are reduced by demand side management. Weconclude that risk-related economic impacts are directly linked to the temporalpattern of energy demands and need to be included in the decision-making arounddemand side measures. We find that decarbonisation strategies withoutaccompanying demand side management may lead to increased economic losseswithout supply side interventions.

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