What is Demand Response?

The Shell Energy difference

  • Minimise on-site interruptions

    By utilising advanced technology and internal expertise, we can manage your business’ participation in a DR event remotely, meaning minimal on-site interruptions for your business. 

  • Advance notification of DR events

    While not all Demand Response events are foreseeable, we help our customers forecast potential events, so you can plan a response that is right for your business. 

  • Regular quarterly payments

    We offer payments for the energy capacity made available or delivered during DR events. These payments are paid quarterly and are based on a fixed forward referenced capacity price. Capacity payments are also paid even if no events are called, provided you made the capacity available. 

$4.95 million in DR revenue paid out in Calendar Year 2025

In Calendar Year 2025, Shell Energy provided customers enrolled in our DR programs with $4.95 million in revenue from our retailer demand response program.

Is your business suitable for Demand Response?

Our Demand Response program is suitable* for organisations that:

  • Can switch to stand-by generation or curtail load with no or minimal disruption to everyday operations
  • Have reasonably predictable patterns and load shape.

 

*Additional criteria and terms and conditions apply. Please contact us for further details. 

Learn more

Frequently Asked Questions (FAQs)

Demand response programs involve large energy users reducing their demand for energy taken from the grid when requested. 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 when power plant outages happen, when network lines are nearing capacity and when electricity demand and prices are high (which is more frequent during the Australian summer).

  • Earn revenue by reducing your electricity consumption when it matters most
  • Get paid for meeting your back-up generator testing obligations
  • Support grid stability and help contribute to a renewable energy future

Learn more here

We make Demand Response simple. Here is our approach:

  • Analyse your business’ data through desktop evaluation of energy history
  • Check demand response capability, response times and the configuration of the generation (where required)
  • Check your eligibility and provide recommendations on any changes or equipment that may be required to facilitate participation
  • Enter into a DR agreement with Shell Energy
  • Supply and install remote control equipment (if required)
  • Dispatch communications, operational support and troubleshooting
  • Provide ongoing monitoring (if applicable)

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 or via your Shell Energy retail electricity invoice.