Operating a modern electrical grid is a technical challenge. The grid must have sufficient generating capacity to meet the highest demand that can be expected, and this value increases every year due to population growth. However, production is not enough to guarantee a stable energy supply: utility companies must constantly upgrade their transmission and distribution capacity, ensuring that electricity can reach the point of use.
Summer is the most challenging time of year for energy companies, as electricity consumption increases sharply due to air conditioning . The grid must be ready to supply electricity to millions of AC systems operating in homes and businesses, and the load is likely to increase every year. The network must also be prepared for summers with above-average temperatures, with 2022 expected to be among the 10 hottest years on record.
Reduce your energy and gas bills with a professional energy audit and building modernization.
While utility companies are responsible for modernizing and maintaining their networks, the construction sector can also contribute to a stable energy supply. Energy efficiency measures can reduce your consumption individually and the combined effect reduces the total load on the grid. Demand response measures have the specific aim of reducing energy consumption in buildings when grid demand is high and multiple buildings may remove several megawatts of load.
Energy efficiency and demand response benefit both building owners and energy companies. With energy efficiency measures, buildings can achieve a permanent reduction in their gas and electricity bills. Demand response reduces peak consumption measured by energy meters, reducing capacity charges.
Energy Efficiency Measures for Summer
Air conditioning is the largest electrical load during the summer, but this also creates an opportunity for measures to improve cooling efficiency. There are three main ways to reduce the electricity consumption of air conditioning systems:
- Improve the building envelope to reduce heat gain from the exterior.
- Update air conditioning systems with newer, more efficient units.
- Reduce consumption even further with automatic controls: smart thermostats, frequency inverters, building automation systems, etc.
By combining these measures, a building can significantly reduce its air conditioning costs. However, an energy audit is strongly recommended as a starting point to identify the specific measures that will achieve the greatest savings. Energy efficiency requires a customized solution for each building, as property conditions and energy consumption patterns vary.
Building envelope upgrades range from simple measures like caulking and caulking to more complex projects like complete window replacements and wall insulation upgrades. When a building has a high R-value and an airtight envelope, energy is saved year-round. Both air conditioning and space heating systems work more efficiently, as heat exchange between the interior and exterior is minimized.
High-efficiency air conditioning systems can achieve big savings during the summer. Generally, the most efficient options for building owners are variable refrigerant flow (VRF) systems and modern chillers with variable speed compressors. When a building is divided into apartments or commercial spaces that require unitary air conditioners, you can save money by using mini-split systems with a high SEER value (Seasonal Energy Efficiency Index).
Smart controls can increase the savings achieved by efficient air conditioning. Temperature settings can be adjusted to optimize consumption and comfort, and the speed of chilled water pumps and air handling unit fans can be reduced during partial load conditions.
A significant load reduction can be achieved by implementing these measures in various buildings. For example, if 20 office buildings manage to reduce the maximum consumption of their air conditioning systems by 50 kilowatts each, grid demand will effectively be reduced by one megawatt (1,000 kW).
Benefits of demand response measures
Demand response measures have a specific objective: to reduce the energy consumption of buildings when the grid is handling high loads.
- Energy companies often have demand response programs, where building owners are given a financial incentive to reduce their consumption during periods of high demand.
- Even without this incentive, buildings can use demand response measures to reduce their individual consumption peaks, which is reflected in a lower capacity load on the monthly energy bill.
Keep in mind that most commercial and industrial consumers are not only billed for energy (kWh used), but also for peak demand (maximum kW during the billing period).
There are many types of demand response measures, which give building owners the opportunity to be innovative. A simple way to reduce consumption peaks is by changing the operating hours of equipment. Non-critical loads that normally operate during peak demand can be used at other times of the day, and this will result in a reduction in peak demand.
Demand response can also be achieved with more complex measures. For example, building owners can use on-site solar-charged battery systems and use their output to reduce the net demand measured by the energy meter. Large facilities with cooling plants can also implement ice storage systems, which can be used for cooling at times of peak demand while chillers are being slowed down. These are just a few examples of how buildings can reduce peak demand.
