Preliminary Evaluation of Load Management for Electricity End Users

Abstract

The planning, design and implementation of load management is complex and expensive. The results of a load management program are subject to numerous uncertainties related to load characteristics, power cost savings, load management costs and operational considerations. Before serious consideration is given to load management, a preliminary feasibility evaluation should be made to determine if the potential savings warrant detailed study and planning. Basic load management principles are reviewed in this paper. A convenient, simple approximation for preliminary feasibility evaluation is presented. The approximation is part of a feasibility evaluation method which includes identification of controllable loads, determination of potential savings, development of load management scenarios, projection of anticipated costs and evaluation of the sensitivity of results to changes in basic assumptions. Key issues related to the evaluation of load management are discussed.