Wednesday 6 December 2023

How the Demand Flexibility Service can increase your organisation’s revenue this winter

In February 2023, the Triads were replaced. These were the three half-hour periods between November and February that saw the highest demand for electricity. Their purpose was to help calculate the contributions organisations using large amounts of electricity should make to maintain and upgrade the network.

However, as consumers became more skilled at predicting the highest periods of demand during the winter months, the Triads often had the unintended effect of reducing peak demand. Consumers reduced their use to minimise the likelihood of paying higher Transmission Network Use of System (TNUoS) charges. Consequently, demand for power during the Triads was often very low.

What’s replacing the Triads?

As a result of the electricity regulator Ofgem’s Targeted Charging Review (TCR), the Triads have been replaced by a set of banded charges based on users Authorised Supply Capacity (ASC). They’re designed to spread the cost of maintaining and upgrading the grid more fairly among
users. You can find forecasts from Drax for these costs in their latest Third Party Costs Guide.

Find out how your business could save money this winter, and beyond.