In Europe, research board Smart Energy Demand Coalition (SEDC) has released a new report on demand response (DR) to support the improvement, deployment and utilisation of DR for the development of smart grids.
The report entitled 'Mapping demand response in Europe today 2015' discusses the drivers contributing to the increase in adoption of demand response practices in European member states and the US over the last year.
The SEDC report was put together, taking into account insight gathered through research and expert interviews with TSOs, DSOs, suppliers, aggregators, regulators and technology providers.
The report analyses barriers restraining the full adoption of demand response in Europe and America.
DR needs cohesive regulatory framework
The Coalition's findings indicate an increase in the implementation of demand response, supported by the European Energy Efficiency Directive and the Energy Union's measures to secure energy supply and reduce carbon emissions at a low cost through smart grid adoption.
However, the regulatory framework for demand response in Europe is highly fragmented.
Hence, the EU Commission on Energy is to oversee the coordination of regulatory initiatives and the creation of demand response development plans at state level in line for a expedited approach to the adoption of demand response pratices, says SEDC.
The Energy Efficiency Directive stipulates that Member States ensure that national regulatory authorities encourage demand response to participate alongside supply in wholesale and retail markets.
The report adds that utilities need to engage all consumers, residential and commercial in full range of demand side resources, including explicit demand response schemes and implicit demand response to fully connect to smart grids.
The SEDC suggests that utilities allow consumers to choose demand response providers. The Coalition adds that the majority of customers globally are restricted from selecting their providers - hindering the uptake of demand response.