Smartphone with electricity energy control usage monitoring app

DSM programs provide a stable, cost-effective path to decarbonization

As society transitions to clean energy, and the demand for electric power grows, you may observe an increase in monthly operating expenses. As an owner or operator of your facilities, there are proven methods to improve power system stability while saving money. The key is employing the use of Demand Side Management (DSM) programs.

DSM programs are focused proactive programs created to educate facility users to curtail their energy use, as well as incentivize reduction in energy demand at peak times and/or grid stress, or when energy costs are high.

Every month, your facility pays a fee to your electricity provider based on several rates, including consumption, transmission and demand. In provinces like Ontario, for example, the Global Adjustment rate may have a significant impact on a facility’s hydro bill, as the demand cost may exceed consumption cost.

By incorporating a DSM program, a facilities owner or operator can offset the disparity by reducing the amount of electricity consumed when costs unfavourably fluctuate.

Implementing a DSM program may include:

  • Lowering energy costs, especially peak demand fees and management
  • Reducing and monitoring energy consumption during periods of peak system load
  • Introducing energy efficiency programs (involving the installation and improvement of equipment, permanent reduction of electrical demand)
  • Increasing profitability and reducing controllable costs
  • Lowering carbon taxes and fees

It’s important to partner with a trusted advisor to evaluate your current energy demand and plan to reduce and decarbonize your facilities in a cost effective manner. It’s important to understand your best options with regard to what kind of investments are needed to achieve your goals.  

DSM programs can go a long way to offering the right incentives for organizations to review their energy use. Once leaders understand when, where and how their energy needs change over their calendars, they are able to make wise decisions to use demand-side management programs to keep the system live, increase profitability and cut expenses.

Our Environment and Sustainability Services team at Black & McDonald are experts in this area and can provide the right strategy and path forward to curtail your energy use and employ the use of technology to find inefficiencies and generate savings. To learn more about our DSM program capabilities, contact Erica Brabon or Kelly Christensen.