DEMAND MANAGEMENT

-Atmesh Poudyal
MSREE, BE (Mech.)
3rd February, 2016
Peak Demand and Available Energy
(source: NEA Annual Report, 2015)

Mismatch between Energy Demand and Supply

Solution: Either increase the supply, or decrease the demand
 Demand Curve
(source: NEA Annual Report, 2015)

Method of Demand Management: Load Shedding

 Demand Forecast
(source: NEA Annual Report, 2015)

At the same rate of Energy Consumption and

growing demand, larger energy crisis is eminent
 Demand Management
Process of scheduling load to reduce electricity consumption during peak load
period and making maximum use of electrical energy during off -peak period.
Major benefit: Reduction in demand; i.e. reduced demand charges.
Most essential factor: A well defined system load curve

Load profile of an industrial plant (8AM-2PM)

2000
Load (kW)
MD(8-8.30)
Max. Demand in kW

MD(8.30-9)
MD(9-9.30)
1500
MD(9.30-10)
MD(10-10.30)
MD(10.30-11)

1000

500

0
8.00

8.15

8.30
8.45

9.00

9.15

9.30

9.45
10.00

10.15

10.30

10.45

11.00
11.15

11.30

11.45

12.00
12.15

12.30

12.45

13.00

13.15
13.30

13.45

14.00
Time
 Identification of Loads
To control maximum demand, two types of electrical loads must be identified.
Continuous Loads: equipment which directly affect peak demand
Intermittent Loads: loads which may not contribute greatly to the demand peak, but
could be turned off or shed with little negative effect on the process

Continuous Loads Intermittent Loads

Furnace battery charger
ventilation fan water heater
drying oven pumping equipment
cold storage grinders
air conditioners Lights
 Demand Management Strategies

Reactive power compensation: improving pf using

capacitor banks
Manual Demand Control: scheduling and monitoring
Automatic Demand Control: using demand controller
Load factor Improvement: avoiding idle loads
Load Rescheduling: shifting loads to different time slots
Shedding of non essential loads
Operation of Captive power generation: DG sets
Ice Storage: for refrigeration industries
 Methods of Demand Control
Manual Demand Control
Load Scheduling
Monitoring
Automatic Demand Control
A demand controller is a device which acts on a signal to
temporarily turn off predetermined electrical loads to keep
the maximum demand under control.

The controller either turns off or duty-cycles the load when

the demand reaches a certain level or set-point.

The set-point must be carefully selected so that it does not

effect production or operating requirements.
 Automatic Demand Control Operation

2000
Max. Demand in kW

Load to be shed Upper Set Point

1500

Deadband
1000

Lower Set Point

500

0
0

0
00

30

00

30

.0

.3

.0

.3

.0

.3

.0

.3

.0
8.

8.

9.

9.

10

10

11

11

12

12

13

13

14
Time
 Load Factor and Demand Management
Ratio of actual electrical consumption to electrical consumption
at maximum (or billing) demand.

- can be calculated from each monthly electricity bill or by

averaging over a year.

Number of kWh consumed in billing period

Load Factor
Maximumdemand hours in billing period

A high load factor could actually decrease your average

electricity tariff!
 Variation in Average Energy Price with Load Factor
Hours in the billing period: 720
Energy Charge Rs. 7.50 and Dem. Charge Rs. 190/kVA/month
Load factor = Max. kVA*hrs./kWh

Energy Average
Plant Max.Dem Load
Consumed Charge
operation . (kVA) Factor
kWh/month Rs/kWh
1650 118800 10.14 0.10
First Shift 1150 118800 9.34 0.14
825 118800 8.82 0.20
1467 316800 8.38 0.30
Second
1100 316800 8.16 0.40
Shift
733 316800 7.94 0.60
1257 633600 7.88 0.70
Third Shift 1100 633600 7.83 0.80
978 633600 7.79 0.90
 Max. Demand saving by Load Rescheduling
Example:
At present the various production departments operate on the following
schedule at 0.95 p.f.
The peak demand occurs when all departments are operating simultaneously.
Present Condition Proposed Condition
Block Hrs/yr Shift Operating days Actual kW Shift Operating days
A 6912 3 Mon. - Sat. 1919 3 Mon. - Sat.
B 4608 3 Mon. - Sat. 832 3 Mon. - Thurs.
C 2304 1 Mon. - Sat. 380 3 Fri Sat
D 6912 3 Mon. - Sat. 107 3 Mon. - Sat.
E 6912 3 Mon. - Sat. 545 3 Mon. - Sat.
F 6912 3 Mon. - Sat. 855 3 Mon. - Sat.

By rescheduling, the reduction of peak demand is 380kW, which is 400kVA. If

the kVA charge is Rs. 200/kVA then, cost saving = Rs. 960,000/-
 Max. Demand saving by Load Rescheduling
Example:
The main load of industry are four nos. of mixtures rated 50 kW with 0.8 p.f. The auxiliary
load consumption per mixture is 20kW. The load profile of the industry on a typical day is
as follows.
Time kVA kW Remarks
6 AM 8AM 175 140 2 mixture running(2*(50+20))
8 AM 12 PM 350 280 4 mixture running
12 PM 4 PM 175 140 2 mixture running
4 PM 6 PM 175 140 2 mixture running
6 PM 10 PM 350 280 4 mixture running
10 PM 6 AM 0 0 Plant OFF
How the max. demand and peak hour consumption can be reduced with
rearranging of loads? Calculate cost saving per annum, if in industry installed
TOD meter and tariff are: 6 AM 6 PM, Rs. 7.55
6 PM 10 PM, Rs. 8.65
10 PM 6 AM, Rs. 5.25
And kVA charge per month Rs.216
 Total Annual Cost
Time kVA kW kWh Energy Cost Rs
6 AM 8AM 175 140 280 2114
8 AM 12 PM 350 280 1120 8456
12 PM 4 PM 175 140 560 4228
4 PM 6 PM 175 140 280 2114
6 PM 10 PM 350 280 1120 9688
Max 350 Total 3360
Energy cost per day 26,600
Energy cost per month (30 days) 798,000
Energy cost per annum 9,576,000
Max. demand cost per month 75,600
Max. demand cost per annum 907,200
Total Cost Per Annum 10,483,200
 Proposed Rescheduling
Option: A

Time kVA kW kWh Energy Cost Rs

6 AM 6 PM 175 140 1680 12,684
6 PM 10 PM 175 140 560 4,844
10 PM 6 AM 175 140 1120 5,880
Max175 Total 3360
Energy cost per day 23,408
Energy cost per month (30 days) 702,240
Energy cost per annum 8,426,880
Max. demand cost per month 37,800
Max. demand cost per annum 453,600
Total Cost Per Annum 8,880,480
 Option: B

Time kVA kW kWh Energy Cost Rs

6 AM 6 PM 175 140 1680 12,684:00
6 PM 10 PM 0 0 0 0
10 PM 2 AM 350 280 1120 5,880:00
2 AM 6 AM 175 140 560 2940
Max 350 Total 3360
Energy cost per day 21,504:00
Energy cost per month (30 days) 645,120:00
Energy cost per annum 7,741,440:00
Max. demand cost per month 75,600:00
Max. demand cost per annum 907,200:00
Total Cost Per Annum 8,648,640:00
 Option: C

Time kVA kW kWh Energy Cost Rs

6 AM 6 PM 0 0 0 0
6 PM 10 PM 0 0 0 0
10 PM 2 AM 525 420 3360 17,640
Max 525 Total 3360
Energy cost per day 17,640:00
Energy cost per month (30 days) 529,200:00
Energy cost per annum 6,350,400:00
Max. demand cost per month 113,400:00
Max. demand cost per annum 1,360,800:00
Total Cost Per Annum 7,711,200:00
 Comparison between options A, B and C

Description Option A Option B Option C

MD reduction per month 175 kVA 0 kVA - 175 kVA
Cost reduction in MD/month 37,800 0 - 37,800
Daily energy cost saving 3,192 5,096 8,960
Monthly energy cost saving 95,760 152,880 268,800
Total monthly cost saving 133,560 152,880 231,000
Annual cost saving 1,602,720 1,834,560 2,772,000
Saving percentage 15.29% 17.5% 26.44%
THANK YOU !