Demand-Side Opportunities for Process Industry Participation in Electricity Markets

This paper elaborates on the topic of industrial demand side management, which has been a matter of research for about two decades. The “traditional” demand side management approach is based on estimating the future energy need and trying to align the load with the energy price forecast in order to minimize electricity cost. For power-intensive industries, this can have a significant economic impact. Here, we investigate the option of using an energy storage unit to make the energy consumption, i.e., the industrial load, more flexible. Installing a battery energy storage system can open up new opportunities, and we include the power reserve markets in the demand side management scope to allow large industrial loads to help keep the power grid stable.