Incorporating Energy Storage Costs Into Cost–Benefit Tests for Utility Demand Response Programs

Abstract

As global energy demand continues to rise, the strain on energy systems is intensifying. Although the widespread adoption of energy storage technologies offers a critical solution, this paper examines the pivotal role of demand response utility programs in complementing energy storage systems. Through strategic implementation, demand response programs can effectively shape energy consumption patterns, reduce costs, and enhance the integration of cleaner, renewable energy sources. Additionally, this paper contributes to the academy by demonstrating how established utility cost–benefit tests for demand response programs can incorporate energy storage costs, assessing program benefits. The findings underscore the need for further research to optimize demand response initiatives and maximize their potential within greater adoption for energy storage.