Industrial users can reduce their energy bills by up to 10% by participating in demand response programmes, according to the UK's Association for Decentralised Energy (ADE).
With demand-side response, energy users vary the amount of electricity they use at certain times in response to a signal or incentive from their energy supplier. For example, they can power down certain equipment for a while, use on-site generation and/or battery storage technology, and use more power when supply is plentiful.
Businesses that are able to be flexible in their energy use can benefit from price fluctuations in the energy market and receive payments for reducing how much energy they use at times of peak demand or when the capacity of the grid is constrained for technical reasons.
A joint report from ADE and RenewableUK says that UK industry is not yet taking full advantage of the significant cost and carbon savings available from demand response and flexible grid services.