What is Demand Management?

When the demand for electricity at peak times approaches the capacity of the network infrastructure, electrical distributers must do something to maintain reliable electricity supply to all of their customers. In some instances distributers need to upgrade their infrastructure (poles and wires) to maintain a reliable electricity supply. Another way they can manage this is by reducing the peak electricity demand on the network (demand side management).

Demand management can involve either the voluntary moderation of customer electricity demand at peak times, or the supply of electricity from batteries (solar) or generators that are connected at customer’s premises or to the distribution network.