The market for commercial and industrial demand response (CIDR) represents an important target for utilities and demand response aggregators. Industrial facilities can contribute significantly large amounts of load reduction, and even small to medium commercial customers are capable of big impacts on reducing the load and strain of the power supply. Because of this, the global revenue for CIDR is expected to grow from $1.9 billion in 2018 to 2.9 billion in 2027, according to Navigant Research.
“While traditional forms of demand response continue to be deployed today, newer forms are emerging and are being integrated with other distributed energy resources (DER), such as energy storage and electric vehicles,” said Brett Feldman, principal research analyst with Navigant Research. “Additionally, as renewable energy adoption continues to increase, demand response provides a key benefit in its ability to help integrate renewable resources by taking advantage of low cost, off-peak energy when wind and solar are abundant.”
In order to enhance CIDR competitiveness and customer acceptance, utilities and service providers should focus on key differentiators of markets and program opportunities, stacking the values as they open up to demand response. According to the report, it’s also important to not look at DR as in a bubble, but to consider it within the context of other DER offerings, including storage, distributed generation, and energy efficiency, to provide the greatest value proposition for customers.
The report, Market Data: Demand Response for C&I, examines the global CIDR market in five major geographic regions: North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa. The study provides an analysis of the market issues, including drivers and barriers, associated with global CIDR development. Global market forecasts for capacity, sites, spending, and revenue for CIDR, segmented by region, extend through 2027. The report also explores global CIDR trends to highlight varying regional activity and markets. An Executive Summary of the report is available for free download on the Navigant Research website.
To learn more about how CIDR can be implemented and advanced, attend the 2018 SCADA Technology Summit in Chicago.