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Incentive based emergency demand response effectively reduces peak load during heatwave without harm to vulnerable groups

Economics

Incentive based emergency demand response effectively reduces peak load during heatwave without harm to vulnerable groups

Z. Wang, B. Lu, et al.

Discover how incentive-based emergency demand response (EDR) effectively curbs electricity usage during heatwaves, ensuring that vulnerable populations remain unaffected financially. This groundbreaking research, conducted by Zhaohua Wang, Bin Lu, Bo Wang, Yueming (Lucy) Qiu, Han Shi, Bin Zhang, Jingyun Li, Hao Li, and Wenhui Zhao, reveals significant insights from a massive pilot program involving over 205,000 households in China.... show more
Abstract
The incentive-based emergency demand response measure serves as an important regulatory tool during energy system operations. However, whether people will sacrifice comfort to respond to it during heatwave and what the effect on heat vulnerable populations will be are still unclear. A large-scale emergency demand response pilot involving 205,129 households was conducted in southwestern China during continuous extreme high temperatures in summer. We found that the incentive-based emergency demand response causes a statistically significant decline in electricity use with no additional financial burden on vulnerable groups. The electricity conservation potential of urban households was higher than that of rural households. Households with children did not respond to the emergency demand response, while the response of households with elderly individuals proved to be more positive. The repeated and frequent implementation of this policy did not result in an attenuation of the regulatory effect. This research can serve as a reference for countries with similar regulated power markets.
Publisher
Nature Communications
Published On
Oct 04, 2023
Authors
Zhaohua Wang, Bin Lu, Bo Wang, Yueming (Lucy) Qiu, Han Shi, Bin Zhang, Jingyun Li, Hao Li, Wenhui Zhao
Tags
emergency demand response
electricity consumption
heatwaves
vulnerable populations
pilot program
household response
China
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