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The Smart Grid: An Estimation of the Energy and CO2 Benefits

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The Smart Grid: An Estimation of the Energy and CO2 Benefits ( the-smart-grid-an-estimation-energy-and-co2-benefits )

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Lighting controls also characterize the technology overlap between energy efficiency and demand response. While light controls have exclusively demand response (e.g., demand limiting, overrides) and energy efficiency (e.g., on/off controls, clocks/timers, manual dimming) components, a small number of capabilities address both energy efficiency and demand response objectives (e.g., central dimming, bi- level/zonal switching). HVAC control technologies hold similar overlapping capabilities, including global zone setup/feedback and duct static pressure reduction (Kiliccote and Piette 2005). Due to these efficiency benefits, energy efficiency and demand response programs and measures hold great potential for reducing the environmental impacts of energy generation systems on the environment. Energy efficiency and demand response programs result in the conservation effect already touched on in this paper but also benefit the environment through load flattening, which defers or eliminates the need for additional power lines and power plants. Further, demand response alters the generation mix by fuel and by unit and also fits in well with intermittent renewables (Nemtzow 2006). The environmental benefits of integrated energy efficiency/demand response approaches could include reductions in emissions. Figure B.1 presents a modeled estimate of the annual air impacts demand response with energy-targeted efficiency (always-on) and energy efficiency targeting peak load periods. The two types of energy efficiency approaches provide for a greater absolute reduction in emissions primarily because they are always on (Synergy Energy Economics 2003). Figure B.1. Comparison of Annual Emissions for Demand Response, Energy-Targeted Efficiency, and Peak-Load-Targeted Efficiency Programs. (Source: Synapse Energy Economics, Inc.) The question remains, however, how can a utility best integrate energy efficiency and demand response programs and measures to reduce administrative costs? Gardner and Stern (2008) provide a short list of effective actions that residential energy consumers can take based on potential savings. Some of the largest savings would result from efficiency actions such as properly insulating older homes. However, there are a variety of complicating factors that impede taking these actions, including the expenditures required, the lack of understanding regarding payback period, and the general complexity of finding and evaluating contractors and overseeing the work. B.6

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