CNESA Demand Response Pilot Goes Online

Summer heat in Beijing. Credit: timquijano

On August 12th, 2015, the Beijing Demand Response Pilot program went online for the first time, as peak load in Beijing reached 18,430 megawatts – a new record. The round of demand response reduced load by about 70 megawatts, helping to ease pressure on the grid.

High summer temperatures led to another record-breaking load on the following day, reaching 18,560 gigawatts. To relieve grid stress, the Beijing Development and Reform Commission (BDRC) and the Beijing Energy Conservation and Environmental Protection Center (BEEC) issued an order to mobilize load integrators to begin reducing load. In the end, load was reduced by about 66 megawatts.

CNESA was the first organization to be recognized as a load integrator in Beijing, so when the dispatch order was given, we helped users engage in demand response. This instance of demand response came through the city’s Demand-Side Comprehensive Management Service Platform, which announced the response action in advance. Our load integration platform received the order and confirmed receipt. This instance demonstrated the capability of CNESA’s demand response platform to seamlessly receive top-down orders, and then divide responsibility and delegate to users. The system also successfully collected data and conducted analysis on user performance.

CNESA is working with the BDRC and BEEC to further improve this pilot program and make the most of our platform. We will learn from the experience of other integrators and improve the platform’s functionality to provide a convenient experience for a growing number of users. We’re also actively exploring how to establish long-term demand response mechanisms so that we can do our part in improving demand response in Beijing.

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User demand curve shown on CNESA demand response platform interface

Beijing Demand Response Pilot Program

CNESA is helping the government achieve lower peak loads. Here's how.

Photo: robert anders

Since the promulgation of the Beijing Demand-side Management Pilot Program Financial Incentive Fund Management Guidelines in 2013, demand response programs have been subsidized by the Beijing Ministry of Finance. By the end of 2015, these programs are expected to bring about a total demand reduction of 150 MW from peak loads. The government has chosen to play a leading role in forming supporting pilot institutions that include both energy services companies and consumers.

Our Role

The Beijing development commission has entrusted CNESA to implement a demand response pilot program. As the first organization authorized to manage load integration, CNESA is responsible for developing a demand-side management platform and encouraging qualified consumers to participate. The Commission will provide subsidies to participating organizations.

CNESA has made progress towards achieving improved demand response by:

1. Exploring the peak shifting potential among electricity consumers
2. Guiding consumers on how to reduce consumption through behavioral changes
3. Establishing a demand response platform

CNESA is currently in the process of attracting qualified consumers to join this DSM platform and creating a DSM data infrastructure to manage peak loads.

The demand response platform is critical to achieving demand-side management in the Chinese electricity market. It will help promote demand response across the grid and help establish DSM implementation mechanisms throughout the country. The platform will also demonstrate how consumers can benefit from the market by changing their usage behavior.

CNESA has partnered with ENERBOS, an energy software service provider, to design the platform’s back-end database and develop web applications to link with existing platforms (grid platforms, the CNESA network, and energy consumer platforms), and test functionality.

How it Works

The platform aggregates demand reduction goals from the grid dispatcher and publishes a reduction plan for consumers – including key information such as reduction amount, date and time, relevant areas, subsidy payments, etc. – so that consumers can decide how to reduce demand based on their capabilities and needs. The platform will then confirm which electricity providers and consumers will participate. The platform will monitor the load curve during implementation to evaluate participant performance and calculate subsidies. Lastly, the platform will use this data to guide and improve future actions.

CNESA has also developed a series of automated demand reduction packages to meet the needs of different consumers. This framework uses a distributed network to integrate different sub-systems into a single computerized and centralized structure, through which managers can quickly and conveniently monitor and control the network via a comprehensive graphical user interface. This platform improves grid stability and performance, all while bringing profit to participants.