Technology Tuesdays: Integrated Demand Side Management (IDSM)

It is a new day, a new month, and a new YEAR! I simply cannot believe 2024 is here already! 

Often, at the beginning of a new year, people like to reflect on the past year and evaluate what they have done and learned. The result of that reflection should propel you into the new year with a new perspective. At least, that’s the idea and that is exactly the topic of discussion for this month’s Technology Tuesdays. 

Over the years, we have discussed so many different types of technology here in Technology Tuesdays and instead of talking about those items in a vacuum, sometimes it is good to revisit them and reflect on what their role is in the bigger picture. What is this bigger picture, you ask? 

The bigger picture is Integrated Demand Side Management, or IDSM for short. This is, by no means, a new concept. However, it is so integral to our overarching energy efficiency and grid management goals, it deserves not only to be revisited but also to be memorialized in our vast library of resources and information. 

I try not to approach any topic with the assumption that everyone that reads this already knows what I am talking about. So, I would like to start out by discussing what exactly is IDSM? 

Let’s unpack the term: 

  • Integrated refers to the multi-pronged technological approach 

  • Demand Side refers to the customer or end user whom is the party responsible for placing the demand on the grid 

  • Management refers to the decisions centered around how energy is used and distributed 

IDSM is a strategy used by utilities to design and deliver a portfolio of programs to manage energy demand on the customer side in efforts to relieve stress on the grid and decrease the amount of energy that is derived from unclean or non-renewable sources. The “integrated” part is where the technology comes in. This strategy uses several different technologies to achieve a holistic and coordinated approach to demand side energy management. These technologies fall into a few different categories: 

  1. Energy efficiency 

  2. Demand response 

  3. Distributed generation 

  4. Storage 

  5. Electric vehicle technologies 

  6. Time-based rate programs to residential and commercial customers 

We have covered quite a few of these in Technology Tuesdays. For example, we have touched on battery technology here and here. Battery technology falls under the storage category and incorporating this technology can help save money on your utility bills because battery storage helps shift usage away from peak hours and higher rates. Battery storage is considerably more cost effective now than when the above-mentioned articles were originally published. 

Another example of one of these technologies is one people may overlook as an IDSM technology. Energy storage does not necessarily have to be in batteries. In some cases, energy storage can be in the form of storing the end product. Examples of this include, storing hot water and ice using Heat Pump Water Heaters and Ice-storage Air Conditioners, respectively. These technologies allow for energy to be used during the off-peak hours and stores it for use during peak hours so energy is not being drawn from the grid and customers will save money without noticing any changes in their comfort level and without having to modify behaviors. 

The list of technologies that can be considered part of IDSM is extensive. However, the rule of thumb is, if it is energy efficient, it can be part of IDSM. 

The savings never stop! 

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Sources: https://emp.lbl.gov/publications/barriers-and-opportunities-broader#:~:text=Integrated%20demand%2Dside%20management%20(IDSM,(DSM)%20programs%20to%20customers