Distributed Energy Resources

What are Distributed Energy Resources?

Distributed energy resources or DERs are small-scale energy systems that generate, store, or manage electricity close to where it is used, instead of relying only on large, central power plants. These resources can include local power generation, energy storage, and technologies that help manage electricity demand.

In simple terms, distributed energy resources allow homes, businesses, and communities to produce and control part of their own power. The concept of distributed energy resources in electricity reflects a shift toward a more flexible and resilient energy system, where electricity flows both to and from the grid.

Importance of Distributed Energy Resources

Distributed Energy Resources are important because they make power system that is more reliable, efficient, and sustainable. They lessen the loss of the transmission and the pressure on the grid during peak demand by producing electricity near to the consumption point. Distributed Energy Resources facilitate the incorporation of renewables, provide energy security during outages, and givess consumers the power to actively take part in electricity generation. For electric companies, DERs help balance the supply and the demand while providing the transition to the cleaner power systems with necessary support.

Uses of Distributed Energy Resources

Common uses of distributed energy resources include:

• Local electricity generation for homes, offices, and industrial facilities
• Storing surplus power for use during outages or peak times 
• Supporting solar and wind integration at the distribution level
• Reducing peak electricity demand and grid congestion
• Providing backup power for critical services and facilities
• Enabling demand response and smart energy management
• Supporting rural and off-grid electrification

Examples of Distributed Energy Resources

Some practical examples of distributed energy resources are:

• Rooftop solar systems installed on residential and commercial buildings
• Battery energy storage systems used for backup and peak-shaving
• Small wind turbines supplying local power
• Combined heat and power (CHP) systems in industrial facilities
• Electric vehicles used as mobile energy storage through vehicle-to-grid systems
• Demand response programs that adjust electricity use during peak periods