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DR is essential

image credit: Rafael Herzberg
Rafael Herzberg's picture
Consultant energy affairs Self employed

Rafael Herzberg- is an independent energy consultant, self-employed (since 2018) based in São Paulo, Brazil* Focus on C level, VPs and upper managers associated to energy related info, analysis...

  • Member since 2003
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  • Jul 4, 2021

DR is essential

Demand Response s a very successful program, for over a decade, in several developed countries.

It should be implemented without further delay in Brazil to help face the energy crisis that the country is already experiencing.

DR is essentially simple, easy and produces quick results.

When the system's demand reaches a "high" level, companies previously registered in the program are notified and can - voluntarily - offer to reduce their demand in exchange for an attractive financial compensation.

It will be more interesting and convenient to take this approach, rather than dispatching the most expensive plants in the matrix that would be otherwise needed.

A real win-win!

It is high time to make DR happen!

Dr. Amal Khashab's picture
Dr. Amal Khashab on Jul 4, 2021

It is a good idea to support DR with battery storage . It will increase benefit/cost ratio.

Bob Meinetz's picture
Bob Meinetz on Jul 4, 2021

Dr. Amal, I think if you put numbers to your hypothesis you will find the cost of battery capacity, together with the cost of energy wasted in conversion, to exceed the cost of expanded generation capacity by several orders of magnitude.

Rafael Herzberg's picture
Rafael Herzberg on Jul 4, 2021

Hi Amal,

In my opinion, yes it is a good idea! The principle is aligned with the concept of reducing demand when thermal power plants (way more expensive than 2/3 of the current hydro power matrix) have to be dispatched to meet the country's load.

It is a great idea if batteries are already there available. If not it may be very expensive to go for it. I mean the most likely alternative is a diesel gent set - especially if it is already there.

Actually in one of my recent consulting jobs this is what I suggested to this large commercial energy user: running the onsite available diesel gen set (which can handle 100% of the company's load) during the on-peak hours when the $/MWh rate charged by the local utility company is twice the variable genset's cost (fuel, operations and maintenance). The anticipated end result with this procedure is saving one monthly electrical power bill per year!

If a DR program is deployed in Brazil savings could be way higher than this above mentioned 1 monthly power bill/year.


Dr. Amal Khashab's picture
Dr. Amal Khashab on Jul 5, 2021

In Egypt , Diesel Generators are common traditional wherever a shortage of supply is existing although it is expensive alternative compared to the regular utility supply. The new trends of DR is a combination of small PV or wind + diesel as a backup . Actually Mantrack has these options worldwide . The latest versions where supported by storage battery. I advice to go through their website and have look to the prices. By the way I am not their dealer at all.

Rafael Herzberg's picture
Rafael Herzberg on Jul 5, 2021

Yes, it is a good arrangement!

Here in Brazil wind is a great energy source if the load is based in the northeast of the country where there are constant winds most of the times. PV is also a great option BUT here in Brazil it seems that the regulator will start DR related program aiming at demand reduction during on-peak hours which are typically from 6 PM to 9 PM when there is no sun (in Brazil at these hours - summer or winter is already dark).

Rafael Herzberg's picture
Thank Rafael for the Post!
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