Consumer to turn producer?
Published: 9 September 2015 - Joe Bush
Demand response provider Flexitricity claim that a shake-up in the country’s energy market could see businesses in all sectors become the power stations of the future.
Flexitricity last year became the first company of its kind to win National Grid’s approval to provide 260MW of electricity to the GB Capacity Market, starting in 2018.
Now the firm, which is re-launching its brand as it prepares to increase its share of the Capacity Market during December’s energy auctions, claim that growing awareness of demand response to meet the country’s electricity needs means it can no longer be seen as a periphery service.
Dr Alastair Martin, Flexitricity’s founder and its chief strategy officer, said, “Our capacity comes from a connected grid of companies, who use our fully automated system to either reduce electricity use or operate small, on-site generators, whenever the national electricity system is under stress.
“This resource - called ‘demand response’ - is increasingly recognised as integral to the future of the grid, as it means we can provide extra capacity and help keep the lights on when demand for electricity is at its greatest.
“This service will become increasingly important, as the gap between supply and demand grows ever narrower over the coming years. National Grid has suggested that demand response could save consumers approximately £790m.”
He added, “This is a major opportunity for us as Britain’s largest and most experienced demand response provider, as well as for British companies or public sector organisations. Sites with flexible electricity loads or back-up or Combined Heat and Power (CHP) generators can earn revenue by unlocking the flexibility in their energy assets - without affecting their day to day business.”