Demand-side management (DSM) refers to strategies and programs aimed at influencing consumer demand for energy. It involves initiatives designed to encourage energy efficiency, reduce energy consumption during peak periods, and shift usage to off-peak times.
Key components of DSM include:
1. **Energy Efficiency Programs**: Promoting the use of energy-efficient appliances and technologies to reduce overall energy consumption.
2. **Time-Based Rates**: Implementing variable pricing models, like time-of-use rates, to encourage users to shift their energy usage to less expensive, off-peak times.
3. **Demand Response**: Engaging consumers to reduce or shift their power usage during peak demand times, often through incentives or notifications.
4. **Consumer Education**: Providing information and resources to help consumers understand their energy use and how to manage it effectively.
Overall, DSM helps balance supply and demand, enhance grid reliability, and promote sustainable energy practices.