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Load Curtailment from Demand Response Programs Will Nearly Triple by 2020, Forecasts Navigant Research
[January 17, 2014]

Load Curtailment from Demand Response Programs Will Nearly Triple by 2020, Forecasts Navigant Research


BOULDER, Colo. --(Business Wire)--

Demand response (DR) programs, which shift load to off-peak hours in order to better manage ever-increasing demand for electricity, have become a key part of utilities' business strategies over the last decade. DR has proven to be an important resource, evolving from being used in emergency programs on a couple of occasions a year to being a critical resource in existing capacity markets and a critical element of the smart grid. Click to tweet: According to a recent report from Navigant Research, load curtailment from DR programs in residential, commercial, and industrial settings will nearly triple over the next 7 years, growing from 57.8 gigawatts (GW) to 140.5 GW in 2020.

"Today, nearly three-quarters of demand response activity takes place in the United States," says Brett Feldman, senior research analyst with Navigant Research. "With a few exceptions, utilities in Europe and Asia Pacific have only recently become interested in using DR to balance the supply and demand of electric power. Many utilities in these regions are expected to ramp up their adoption of DR in the years ahead."

One of the most important technological developments in the DR market during the last 10 years has been the automation of DR processes. Automated DR (ADR) typically involves very minimal or no manual intervention and has substantially improved the efficiency, cost effectiveness, reliability, and speed of peak reduction and grid balancing. More than 37,400 sites across th world were enabled for ADR in 2013, according to the report, and ADR-enabled sites are expected to reach more than 151,000 sites by 2020.



The report, "Market Data: Demand Response", provides regional and global forecasts of DR participation, load curtailment, and DR spending, segmented by region and by program type, through 2020. The data is examined from the perspective of the three major customer segments: residential, commercial, and industrial. The report also details the burgeoning ADR and OpenADR markets, and provides forecasts for total facilities with DR through 2020. An Executive Summary of the report is available for free download on the Navigant Research website.

About Navigant Research


Navigant Research, the dedicated research arm of Navigant, provides market research and benchmarking services for rapidly changing and often highly regulated industries. In the energy sector, Navigant Research focuses on in-depth analysis and reporting about global clean technology markets. The team's research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Utilities, Smart Transportation, and Smart Buildings sectors. Additional information about Navigant Research can be found at www.navigantresearch.com.

About Navigant

Navigant is a specialized, global expert services firm dedicated to assisting clients in creating and protecting value in the face of critical business risks and opportunities. Through senior level engagement with clients, Navigant professionals combine technical expertise in Disputes and Investigations, Economics, Financial Advisory and Management Consulting, with business pragmatism in the highly regulated Construction, Energy, Financial Services and Healthcare industries to support clients in addressing their most critical business needs. More information about Navigant can be found at www.navigant.com.

* The information contained in this press release concerning the report, "Market Data: Demand Response," is a summary and reflects Navigant Research's current expectations based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report's conclusions and the methodologies used to create the report. Neither Navigant Research nor Navigant undertakes any obligation to update any of the information contained in this press release or the report.


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