The concept of demand-side management for electric utilities

Demand-side management (DSM) is the planning and implementation of those electric utility activities designed to influence customer uses of electricity in ways that will produce desired changes in the utility´s load shape. While the objective of any DSM activity is to produce a load-shape change, the art of successful implementation and the ultimate success of the program rests within the balancing of utility and customer needs. This paper describes demand-side management for electric utilities and discusses the evolution of this concept for load management, strategic conservation, and marketing.