A total of 218 MW of demand-side response (DSR) capacity has been awarded to Enel X in the latest auction held by EirGrid Group (Ireland’s Transmission System Operator) to be delivered between October 1st, 2022 and September 30th, 2023. During 2022-2023 the company will be managing 52% of the island’s demand response capacity, which is the largest portfolio the company has ever been awarded in Ireland.
“With this major award, we will contribute to even greater system sustainability in Ireland through the flexibility ensured by our portfolio of commercial and industrial customers, while providing those customers with opportunities to create more business value from their flexibility, making it a win-win for Ireland’s entire energy ecosystem,” said Tony Whittle, Head of Enel X Ireland.
The demand-side response capacity was awarded to Enel X during Ireland’s first-ever forward base auction for the island’s capacity market. Forward base auctions are planned once a year in Ireland to ensure in a cost-effective way that there is enough electricity supply to meet increases in energy demand projected in approximately four years’ time. The Irish capacity market integrates the island’s electricity market with the rest of Europe under a new wholesale market arrangement, the Integrated Single Electricity Market (I-SEM). This new market design can create more opportunities for dynamic transactions and trading, with the aim to facilitate the integration of more renewables in the system, and ultimately to drive more efficient wholesale electricity pricing.
Demand-side response programmes are set up to pay large commercial and industrial (C&I) energy customers, such as data centres, manufacturers, and commercial real estate companies, to adjust their energy demand by either reducing or increasing their power consumption, with the aim to stabilise the grid. The Irish demand-side response programme pays users year round for being on standby, ready to respond in the event of a grid emergency, as well as providing incremental payments if and when they reduce their energy demand from the grid.