Paris, France --- (METERING.COM) --- DECEMBER 19, 2012 - Electric vehicles, heat pumps and micro-combined heat and power are the main emerging end use technologies that will play a role in demand response and demand side management, according to a new review from the International Energy Agency’s Demand Side Management Program.

And smart metering is the technology which is essential in the road to smart grids and to the integration of active customers to the electrical networks and to the market.

The review, comprising a summary and several supplementary reports, was by Task XVII on the integration of demand side management, distributed generation, renewable energy sources and energy storages. It was aimed to study how to achieve better integration of flexible demand with distributed generation, energy storage and smart grids. This would lead to an increase of the value of demand response, demand side management and distributed generation, and a decrease of problems caused by intermittent distributed generation (mainly based on renewable energy sources) in the physical electricity systems and at the electricity market.

The review notes that microgeneration and new end-use technologies can present significant effects to several stakeholders. Most importantly, the consumer himself, network companies and electricity supplier (retailer) are involved. These stakeholders can effect on the penetration with differ ways. New market models and business models have been developed and should be developed further.

In each case the costs and benefits to each stakeholder depend on the details of technologies and their methods of control, on the details of contracts between stakeholders as well as on other issues like market rules, regulation and subsidies. It is important that in each case the key parties involved should find rules, tariffs and incentives, which allow all stakeholders to benefit, or at least not suffer, from the introduction of the new technologies.

To implement demand response with the new technologies, manufacturers should add machine-to-machine communication ability using widespread standards.

It also seems to be important to develop standardization and functional requirements for smart metering so that all the benefits from distributed energy resources can be obtained.

On the basis of the work carried out so far, it is proposed to extend it with studies on the role and potentials of flexible consumers, on changes and impacts on the grid and market operation, and on experience sharing and finding best practices.