This report provides an overall evaluation of ARENA’s demand response portfolio in terms of the value provided to stakeholders and the energy industry more generally and to identify lessons learned which may be applied to future programs.
As the level of renewable energy in Australia’s energy system continues to increase, novel ways to manage the delivery of secure and reliable electricity are required. The role of demand response (DR) is becoming increasingly important as a potential clean and low-cost resource to manage grid security and reliability.
In 2017, the Australian Renewable Energy Agency (ARENA) embarked on a three-year partnership with the Australian Energy Market Operator (AEMO) to run a DR trial to demonstrate the ability of DR to assist in managing the reliable supply of renewable energy. AEMO’s Short Notice Reliability and Emergency Reserve Trader (SN RERT) panel was the mechanism with which to test participants’ ability to reliably provide DR.
With most trials now completed or nearing the end of their contract, ARENA has engaged CutlerMerz to undertake an evaluation of the portfolio of projects in terms of the value provided to ARENA’s stakeholders, the energy industry and the wider public as well as to identify lessons learned which may be applied to future programs.