Businesses Can Reap Rewards for Reducing Energy Consumption

9th Nov 2023 | Mollie Pinnington | 2 minute read

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Amidst rising energy costs and the ongoing focus on sustainability, businesses are increasingly seeking opportunities to reduce their environmental impact and lower their energy bills. One such opportunity lies in participating in Demand Flexibility Service (DFS) schemes, which incentivize businesses to shift their energy usage away from peak demand periods.

Under DFS schemes, businesses receive financial compensation for voluntarily reducing their electricity consumption during pre-determined peak hours. This helps to balance the electricity grid and prevent potential blackouts, especially during periods of high demand, such as cold winter evenings.


Benefits for Businesses

Participation in DFS schemes offers several benefits for businesses, including:

  • Financial Rewards: Businesses receive payments for reducing their energy consumption during peak hours. These payments can help offset rising energy costs and contribute to overall cost savings.
  • Environmental Impact Reduction: By reducing their energy consumption, businesses contribute to lowering greenhouse gas emissions and minimising their environmental footprint.
  • Enhanced Energy Management: Participation in DFS schemes encourages businesses to adopt more energy-efficient practices and optimise their energy usage patterns.
  • Improved Grid Stability: By shifting energy consumption away from peak hours, businesses help to stabilise the electricity grid and reduce the risk of power outages.


Eligibility and Participation

To participate in DFS schemes, businesses typically need to have a smart meter installed, which allows for real-time monitoring and measurement of their energy consumption. They also need to register with their energy supplier or a designated DFS provider.

During designated peak hours, businesses receive notifications to reduce their energy consumption. They can achieve this by implementing various strategies, such as:

  • Deferring energy-intensive activities to off-peak hours
  • Utilizing energy-efficient appliances and equipment
  • Implementing smart thermostat controls
  • Encouraging employees to adopt energy-saving practices

DFS schemes offer a win-win situation for businesses and the electricity grid. By reducing their energy consumption during peak hours, businesses can reap financial rewards, enhance their environmental stewardship, and contribute to a more stable and resilient electricity infrastructure. As energy costs continue to rise and sustainability concerns grow, DFS schemes are poised to play an increasingly important role in shaping the future of energy management for businesses.

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