Demand participation in the power market by load curtailment of building energy use and distributed generation of commercial customers in Japan

This paper discusses possible integration of demand side resources in electricity markets as a demand response program. To explore the technical feasibility of demand response (DR) programs and technologies, we performed a preliminary analysis of load impact by a couple of demand responsive technologies in air-conditioning, lighting and computing appliances for commercial building sector in the Tokyo Electric Power Co.(TEPCO) service area. The results show that, a peak demand reduction of about 1290 MW could be technologically achievable in FY2020 if every office building and retail store adopts the supposed demand shaving and shifting options, which is about 25% of the projected reserve of TEPCO, 5130 MW in FY2020. We also explored the feasible conditions of DR incentives for fast reserve by a distributed energy system or a microgrid. The results show that, reserve provision of about 1,340 MW at a system peak time from microgrids could be achievable in the same area.