The Electricity Demand Reduction pilot scheme will provide organisations with financial support to install more efficient electrical equipment that reduces electricity demand at peak times.
The Department of Energy and Climate Change is testing whether projects that deliver lasting electricity savings at peak times, like replacing old bulbs with LEDs or improving motors and pumps, could one day compete with generation, demand side response (DSR) and storage in the forthcoming GB Capacity Market.
Organisations that register, and whose projects qualify, will be invited to take part in a competitive auction. Participants can bid in kW savings from projects they plan. The winning bids will be those that represent best value for money (ie, the lowest price for each kW offered) up to the total budget available in the auction. Successful bidders will receive payments once savings are delivered and evidence received.
The scheme is now open to formal expression of interest and a participant handbook is available which:
- explains what EDR is and the background to the EDR Pilot; and
- provides guidance on how to participate.
You can find out more about the project and download the handbook and application forms on the EDR pilot scheme web pages. Click here.