Peak energy demand periods – the period when energy demand is significantly higher than usual energy supply – can disrupt the entire energy distribution system leading to more number of blackouts. This typically takes place amid 4 pm and 8 pm on weekdays, when businesses are open and simultaneously people are back to their home from work; turn on their lights, HVAC equipment and other appliances. Also during extreme meteorological conditions like heat wave, demand for energy considerably outstrips energy supply and, around hours of peak energy demand, homeowners face serious risk of blackout or power outage. Demand response is a mode for energy firms to discourage energy consumption by rewarding homeowners & businesses with bill credits for reduction in energy use. Utilities and other energy system operators are increasingly getting inclined towards demand response as a environmentally responsible and cost-effective way to mitigate peak load while on the other hand customers are gradually looking to demand response programs to help cope energy costs.
Demand Response Market: Segmentation
Demand response market is segmented on the basis of type, vertical and region. On the basis of type, demand response market can be segmented into hardware, software and service. Hardware is further sub-segmented into thermostat, smart meters and grid-interactive electric water heater. According to service, demand response market can be further segmented into system integration service, curtailment & consulting service, maintenance service and managed service. On the basis of software, demand response market can be sub-segmented as industrial & commercial demand response management system, residential demand response management system and mobile applications. Demand response market can be segmented according to vertical which includes public, retail, manufacturing, media & entertainment, transportation & logistics, IT & telecommunication, banking, financial service and...