Abstract/Summary

The challenges in engaging small and medium sized enterprises (SMEs) with energy reduction are widely recognised. Individual SMEs often consume little energy but collectively their energy use is significant. Electricity companies are now giving high priority to developing smart electricity grids to support a lower carbon future but a role for SMEs in this is unclear. This thesis investigates the potential for demand side management (DSM) services that a group of businesses could offer and compares this with the requirements of electricity market stakeholders. The work was supported by Reading Borough Council and considers the role that local authorities could have in bringing together groups of tenants and landlords with DSM customers. A method was developed to estimate flexible loads from a group of office buildings, in the absence of detailed information at individual building level. Analysis of previous classifications of buildings, businesses and HVAC systems identified that heating and cooling in offices represented the largest potential load for DSM, with SMEs responsible for a significant proportion of this. A building physics approach, centred around the EnergyPlus tool, was used to simulate the temporal profiles of electricity use. Demand response potential has been quantified for four built form types, three age bands and two HVAC types. SMEs could contribute to the DSM requirements of the System Operator or DNO in Reading but larger flexible loads are needed than currently exist with office heating and cooling. The best DSM opportunity is currently in well insulated buildings with large cooling loads. Due to the dominance of gas heating in the Reading area, the DSM opportunity is very limited but is expected to increase as more electric heating is installed. Load shifting from heating and cooling in offices could contribute to a DSM service which includes process loads and on-site generation. Achieving the greatest benefit from DSM would require close co-operation between DNOs and local businesses. SMEs face large challenges in engaging in DSM but facilitating this would be in line with local authorities’ carbon reduction and business support roles.