Systems engineering approach to Integrated Demand-side Management – an Eskom case study
by A Etzinger, Eskom
Electricity+Control, September 2014 – pages 42 – 45
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Successful implementation of Eskom’s Integrated Demand-side Management (IDM) programme has proved that energy efficiency and demand management can play an important role in providing the energy needs of the country and can do so at a comparatively low cost. It furthermore presents an opportunity to improve the energy intensity of the country, create and protect employment and contribute to the environmental aspirations of the country.
Barriers to implementation do exist. These include the required upfront capital investment, long payback periods, high transactional and M&V costs especially for smaller projects, low levels of awareness and low confidence in projected energy and cost savings that will be achieved.
The most critical mitigation of barriers is a policy, regulatory and funding framework that promotes and supports energy efficiency implementation and creates an appropriate and stable enabling environment.
IDM initiatives are comparatively fast to implement and can be used to effectively and rapidly respond to supply constraints, provided:
• A sound, project-managed, multi-functional implementation approach is employed
• Business processes, systems and controls are optimised and automated as much as possible
• Staff and advisors are trained on complexities of multiple incentives
Suitable measurement and verification of results is essential to demonstrate the achieved impacts and inform decision-making and future investments.
- In 2004, Eskom officially launched a national Energy Efficiency and Demand-side Management programme.
- In South Africa since 2004 the pressure on energy efficiency measures to contribute to mitigating supply challenges has steadily mounted.
- Successful implementation of the IDM programme has proved that energy efficiency and demand management plays an important role in providing the country’s energy needs at a fairly low cost.