Demand-side Participation in the Balancing Mechanism

Demand-side Participation in the Balancing Mechanism

Ofgem recently published its views on the design of arrangements to accommodate independent aggregators in electricity markets in Great Britain. CRA was retained by Ofgem to perform an analysis of market design and access issues, including an assessment of potential competition concerns. CRA’s report covers:

  • An overview of the market for demand side response (DSR) in Great Britain (GB)
  • A review of the current treatment of DSR in the GB Balancing Mechanism (BM)
  • An indicative assessment of the economic impact of increasing DSR participation in the BM
  • A review of options for the treatment of independent demand-side aggregators in the BM
  • An assessment of the options and recommendation

The full report can be downloaded here.

An overview of our key findings and recommendations can be found at the link below. 

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