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Water, energy and environment

Managing peak electricity demand in South Australia

On this page: 

What is demand management and peak demand?
Issues with peak demand
What is being done to manage peak demand?

What is demand management and peak demand?

Electricity demand refers to the amount of electricity required by households, businesses and industry in the state. Demand management is managing when and how electricity is used to ensure a reliable supply.

On some days South Australia’s demand for electricity can be more than double the average demand on a typical day. This is described as peak demand. Peak demand only occurs a few times each year on extremely hot summer days when air conditioners are being run in households in addition to other appliances and while the commercial and industrial sector is consuming power.

If demand is higher than supply it can lead to power outages which are managed across the national grid by the Australian Energy Market Operator (AEMO) in consultation with the South Australian Government and ETSA Utilities.

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Issues with peak demand

South Australia has a more peaky electricity demand profile than any other state in Australia. The state also has the highest annual growth rate of maximum demand across the five regions in the National Electricity Market (NEM).
 
Supplying large quantities of electricity for very short periods of time to meet peak demand leads to increased generation and network costs. This places upward pressure on South Australia's electricity prices.
The state's electricity demand profile also increases the risk of supply interruptions during heat waves.

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What is being done to manage peak demand?


Historically meeting peak demand has been addressed through building additional electricity infrastructure - eg power stations, upgrading network capacity. While this approach meets demand, it also results in increased costs which can be passed onto consumers.

In 2001 the South Australian Government consulted with industry and the community to identify ways of reducing the State's demand for electricity. To view any of the consultation papers, contact the Energy Division.

Alternative measures are being investigated such as improving the energy efficiency of appliances - eg air conditioners.
Residential air conditioners are a significant contributor to peak demand and increasing their energy efficiency will reduce their impact on peak demand periods.

The Essential Services Commission of South Australia (ESCOSA) commissioned ETSA Utilities to investigate industrial, commercial and residential demand management options and opportunities. 

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More information

Other websites
Demand management - ETSA Utilities

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