Electricity market

Litgrid > Electricity market > Reports and research papers > Lithuania demand response study

Lithuania demand response study

Litgrid and ESO initiated a feasibility study to investigate current trends of electricity consumption increase and renewable generation market share growth. The aim of the study was to assess potential providers of the demand-side response service by considering their electricity consumption tendencies and technical possibilities and establishing technical requirements for transmission and distribution system operators. Demand-side response services encourage consumers to adapt consumption rates according to system needs by providing financial compensation. Consumers in France, United Kingdom, Ireland, Sweden, Finland, and other countries already have abilities to offer various demand response services.
 
This feasibility study provided technical requirements for consumers' integration necessary in various markets and technical specifications to enable consumers' participation in system balancing services. Technical requirements laid out in this study will be further used to develop harmonized flexibility services in Lithuania and other Baltic states. Experience of other European countries shows that consumers' inclusion in demand management helps enables a consumer to react to market signals resulting in lower power bills. System operators also expect benefits in improving the quality of electricity supply and more flexible control while optimizing network investments.
 
During the study electricity consumers from business companies, and industrial enterprises to residents had an opportunity to voice their expectations and needs concerning their engagement in demand-side response service. In practice, this service means that consumers will benefit from turning up or turning down demand in real-time during peak periods and saving on electricity costs during off-peak hours. The findings of the feasibility study revealed the readiness levels of residents and companies to participate in demand-side response services and gave an insight into the perspective of these services in Lithuania.
 
The public report contains the following chapters: