Demand responseProject Shell Energy Smart Energy Hubs Deployment Project
This first Lessons Learnt Report discusses technical aspects and the onboarding of suitable C&I sites, as well as technical and operational requirements to provide a flexible demand solution to scale.
The adoption of flexible demand in Australia for commercial and industrial customers is currently done on a technology-by-technology basis rather than as an integrated solution for customer sites. There is limited awareness of emerging forms of flexible demand involving turning large equipment into smart direct (energy) load control (DLC) devices and battery energy storage and solar PV curtailment. Furthermore, these emerging forms of flexible demand are not currently participating in AEMO market schemes for distributed energy resources such as the Reliability and Emergency Reserve Trader and Wholesale Demand Response. These new forms of flexible demand are relatively untapped and there is significant latent capacity in commercial & industrial sectors that can be unlocked by the end of 2025 to address upcoming network and market challenges. Realising revenue for all distributed energy resources at a customer site across all electricity market services and emissions schemes is key to closing the commercialisation gap. To commercialise Smart Energy Hubs, Shell Energy will implement approx. 21.5 megawatts of flexible demand capacity, pursue three regulatory reforms, and seek to demonstrate three new market services to unlock flexible demand market value.