Verified Savings from Demand Response

02/16/2016 |

Load reduction strategies shown to cut electricity costs

Power line for electricity

Demand response can offer significant benefits to commercial and industrial end users, with incentives and energy savings making the electricity use reduction practice an attractive option, says a new report. The research found that in 2014, the average incentive for a commercial customer was nearly $600 while industrial users could see an average incentive of over $9,000.

The data from the EIA’s survey of sales, revenue and energy efficiency of electric power (Form EIA-861) shows that while commercial and industrial customers made up just over 7% of all demand response users (7% and <1%, respectively), they also provided a much larger share of the energy savings from the practice than residential customers as well as receiving larger incentives.

The report also notes that California is leading the way in demand response, boasting 20% of total demand response customers and 20% of total peak demand savings while having just 12% of the country’s population.

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