What is Demand Response?

At Shell Energy, we offer access to four types of Demand Response. Suitability and benefits of each program depends on your site’s energy load and patterns, equipment and system automation, and response capabilities.

Many of our large energy customers access more than one program to maximise value. Get in touch with us today to find out how we can tailor the right demand response solution for your business.

The different types of Demand Response

There are a number of different types of DR programs available, each suitable for a different type of business capability and each offering different benefits depending on your business’ energy load, patterns, equipment, system automation and response capabilities.

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The Shell Energy difference

  • Expert energy engineering

    Our team of experienced energy engineers work with customers to improve energy productivity at complex sites by delivering feasibility studies and implementing automation to help you better manage your electricity demand and respond to energy events.

  • Optimised automation and control

    For Demand Response, we work with leading controls and optimisation solution providers to automate and control your on-site energy consumption.

  • Tailored retail electricity contracts

    Shell Energy is Australia’s largest dedicated supplier of business electricity (based on size of load), which means we know how our businesses consume energy. We apply this knowledge to optimise your business’s load for efficiency and commercial benefit.

End-to-end BESS implementation and management 

Battery Energy Storage Systems (BESS)

Battery Energy Storage Systems (BESS) allow your business to improve its energy productivity and unlock revenue from various market schemes.

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Smart Energy Hubs

Unify your business’ separate energy efficiency projects for greater reduction of emissions and energy costs with a Smart Energy Hub.

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Frequently Asked Questions (FAQs)

These programs involve large energy users reducing their demand for energy taken from the grid when requested to help maintain grid reliability. This demand reduction may occur by reducing use, or utilising on-site power generation such as backup generation, or discharging energy stored in batteries. Businesses receive performance-based payments for their participation.

Demand Response events are activated when there is significant pressure on the electricity system due to very high demand or supply constraints.

These events often occur during Australian summers, when power plant outages happen, when network lines are nearing capacity and/or when electricity prices are high. Learn more about these programs and events in our Energy Insights article.

  • Generate revenue
  • Meet test obligations for on-site generators
  • Contribute to a secure and reliable energy market

To be eligible to participate in Shell Energy’s DR programs, your business must meet the following criteria:

    • Must be based in VIC, SA, QLD or NSW
    • Use over 3 GWhs per annum
    • Can reduce a minimum of 500 kW via load reduction, back up generation, storage or chiller plants
    • Can reduce electricity usage when requested
    • Capable of reliable participation with minimal or no disruption to everyday operations

Shell Energy will send a dispatch request to participating customers when participation is required.

In some instances, participants will receive advance notice of the event. Depending on the terms of the agreement, customers may choose not to participate.

At the time of an event, a Shell Energy Demand Response customer will receive emails, phone calls and texts from us to alert them to the opportunity. To participate, the business may do one or more of the following to reduce demand on the network:

    • Switch off energy-intensive equipment
    • Change equipment operating hours
    • Switch to on-site back-up generators
    • Utilise battery storage.

If our dispatch system is integrated with your controls systems, we can manage your participation remotely, so you never miss an opportunity.

After each event, we issue performance-based payments to participating customers. Payments can be made directly to you, or on your monthly Shell Energy retail electricity invoice.