Eskom, the power utility in South Africa, is offering incentives to large customers who voluntarily reduce their electricity usage during peak hours to alleviate pressure on the power system.
In a statement seen by Pindula News, Eskom said it plans to increase its Demand Side Management (DSM) efforts to regulate electricity supply and demand. During the National Demand Management Indaba, Eskom Board Chairperson Mpho Makwana explained that DSM programs can help manage customers’ energy consumption, lowering peak demand or overall usage during certain times.
The Indaba aimed to provide a platform for various groups to discuss Demand Side Management, Energy Efficiency, and Demand Response. Through sharing international experiences and case studies, participants proposed solutions for reducing electricity demand and ensuring a consistent supply. Eskom also presented its recently launched Demand Response and Distribution Demand Management Programme, emphasizing their importance. Makwana said:
The effective implementation of the DSM programmes could create a win-win situation —reducing pressure on the power system and enabling consumers to realise cost savings by being more energy conscious and reducing their consumption without affecting business productivity or quality of life.
DSM is not a South African concept. It is global phenomenon with the best-in-class countries already using technology to manage demand. The array of policy measures to incentivise demand-side participation, promote energy conservation and reduce peak demand can be replicated in our country.
Eskom has been working on various DSM initiatives to improve energy efficiency, including energy-saving programs, demand response, distributed generation, and energy storage. They have implemented programs such as using CFLs instead of ICLs and encouraging people to reduce electricity usage during peak periods. Their demand response program offers incentives to large customers to reduce energy consumption during peak periods to avoid load shedding.
Eskom believes that collaborative efforts with stakeholders from businesses, industries, and residential customers will make DSM programs more effective. Eskom thanks all participants and encourages more people to join in these initiatives to alleviate pressure on the power system.
South Africa has been experiencing an electricity crisis for several years due to ageing infrastructure, underinvestment, and operational difficulties faced by the state-owned power utility, Eskom. This has led to frequent power outages known as “load shedding”, causing disruptions to businesses and affecting the quality of life for many South Africans. The government and Eskom are taking steps to address the crisis, but it remains a major challenge for the country.