Benefits Of DSM

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Benefits of DSM

Demand Side Management (DSM) is a program that encourages energy users to make use of energy efficient designs. DSM presents a great chance for different power utilities to limit their GHG emissions while promoting energy conservation as well as lower emissions. This DSM approach is actually aimed at both the customers and the utility companies encouraging lower and more effective energy consumption. The following are a few benefits of DSM.

1. Environmental benefits

Rather than building new electrical plants for responding to the increase in customer demand for electricity, electricity producers could possibly attempt to limit the demand for power. Usually, they offer incentives of special programs having lower tariffs as well as higher efficiency appliances. This greatly assists in meeting the environment protection goals since it is going to reduce the emissions of pollutants into the atmosphere.

2. Controls load

It is an undeniable fact that the demand for electricity varies from one person to the next and there is a huge difference between night and day consumption. On the other hand, utility firms prefer constant usage in order to make the most out of their investment. Such a problem is easily solved with the assistance of demand side management. In such cases, lower night tariffs are introduced or other financial incentives to ensure constant power usage.

3. Cost effective

Through using the DSM approaches, you can be able to save a lot of money in electrical costs as well as maintenance costs. There is a large market nowadays of energy efficient appliances that you can use. Through using these appliances, the energy consumption will go down significantly and thus you will not require spending as much money in comparison to other firms that do not use the DSM approach.

The major drawback of DSM is that DSM based resolutions usually increase the complexity of the situation and they are not competitive.

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