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The power system is changing. Be part of it or pay up

cradlepic-150x150Companies interested in turning power costs into revenue should not miss this free Demand-Side Response conference, xx September, at London’s xx venue.

Companies that do not become more flexible in their power use may soon pay the price. The shift towards a smart energy system is underway.

What’s happening?

The UK power system is undergoing structural change. Renewables are disrupting wholesale power prices and old generation economics. Coal, the backbone of the UK system for decades, is shutting down. Few new gas power stations are being built because it is less certain how they will make money in the new market. New nuclear is way behind schedule. UK power margins are at historic lows.

Meanwhile, local grid operators face challenges from the volume of renewable generation connected to their networks. They also face conflicting signals about what is happening to the network at a national level, versus what is occurring within their own distribution regions.

Dynamic power pricing

At the same time, businesses are now being moved to time of use tariffs – they will pay more for their power at peak times. The switch to half-hourly settlement, to match the way the power system works, is intended to make companies change their behavior and use less power when the system has the least spare capacity. If they do not, their bills may rise significantly.

Demand-side response

For UK businesses, that represents both a threat and an opportunity. Those that can switch to on-site generators, or reduce power consumption during peak times, will pay less for their power. They can also make money by signing up to help balance the system via demand-side response (DSR) programmes. These programmes pay companies to be flexible with their assets and there are numerous ways businesses can participate.

Businesses in demand

National Grid, distribution networks, aggregators and energy suppliers are keen to sign up more demand-side response providers. All of them will be at Energyst Media’s free Demand-Side Response conference in September. Companies interested in turning cost into revenue should ensure they attend.

Attendance is free to organisations that wish to find out more about how they may participate in demand-side response. Places are strictly limited. Click here to register and guarantee your seat.