Analyses of Demand Response in Denmark

Balmorel: Power system model | August 2005 - October 2006

What is the value of demand response? In this project, the Balmorel model has been used to calculate the value of demand response in a Monte Carlo set-up, which tests 100 probable conditions. The analyses showed that demand response had a high value in those 5 per cent of the cases where the combination of accessible hydro power, wind power and the size of the consumption severely strained the system.

The analyses also showed that not only the spot price but also other elements in the total electricity price ought to vary throughout the day in an idealistic situation. This would increase the incentive for consumers to adapt electricity demand to electricity prices.

The project was carried out by RISØ, RAM-løse edb and Ea Energy Analyses with support from the Danish Energy Research Programme (EFP) and Energinet.dk.

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