Revenue from demand response for the commercial and industrial sector is expected to reach nearly $40 billion by 2023, according to a recent Navigant Research report. We see automated DR driving that growth, particularly through participation in ancillary services markets.
As energy management technologies become more prevalent and embedded in equipment, and industrial plants become more energy savvy, embracing the Internet of Things to create facilities full of connected devices, businesses will have the capacity to take advantage of new programs. At the same time, optimal energy use is becoming an increasingly important sustainability initiative for manufacturing and commercial facilities. These trends are converging with larger grid factors, such as the need to balance renewable generation with demand and mandates to increase capacity without increasing pollution, to create a perfect moment for ADR.