Industrial Peak Load Payments to Grow to $4.3 billion by 2019, Says Pike
The industrial peak load reduction will grow from 26.8 GW in 2013 to reach 62 GW by 2019, according to Pike Research. The North American region, mainly the United States, represents the lion’s share of industrial peak reduction throughout the forecast period.
Demand Response for Industrial Markets examines peak load curtailment by two major customer segments: small/medium and large/very large.
The report also analyses how much these industrial demand response (DR) customers receive in payments by a utility, grid operator or aggregator when they reduce their load at peak times. Pike Research forecasts about $1.8 billion will be paid to these customers globally in 2013, increasing to about $4.3 billion in 2019.
Since the inception of DR in the mid-1970s, electricity consumers in the industrial sector have represented an important target market in the United States. But, as DR is increasingly adopted in other parts of the world, industrial facilities will also become a critical customer segment in other countries.
While the commercial sector presents excellent prospects for DR because of the sheer number of facilities in the world, the industrial sector offers unique opportunities because it is able to contribute unusually large amounts of load reduction — even from just one plant. As a result, large industrial or manufacturing sites have been considered the low-hanging fruit by DR providers.
A January report from Pike Research said commercial building owners are becoming more interested in DR programs. The number of commercial facilities participating in DR programs worldwide will rise from about 564,000 in 2012 to more than 1.4 million sites by 2018, the report forecasts.
Why bring buildings online? What information can operations teams glean from real-time data that they can’t just get from the monthly data provided by utility companies? Click to learn more.
- Existing Building Technologies Combine for Increased Savings
- The Future of Operational Risk Management: The Oil & Gas and Chemicals Approach
- Combined Heat and Power
- 2014 Environmental Leader Product and Project Awards
- Improve Your Company's Environment and Energy Performance
- Unlocking the Value of Energy & Operational Data
- Energy Financing Report
- Let's Do The Math for DR
- How "Fixed" is the Fixed Price Product?
- Increase the Value of Demand Response Through Automation
- Cut Costs and Improve Facility Operations with Energy Data
- Energy Procurement Strategies for Winter 2014 and 2015
- Energy Efficiency Requires Engineering Efficiency
- Integrated Building Optimization: A Crucial Convergence of Demand-side and Supply-Side Energy Management Strategies
- Driving Productivity and Profit with Industrial Energy Management