Creating Opportunities
Taking advantage of market niches is the key to profitability and
growth in the distributed generation business.Distributed generation
enjoys a competitive advantage over other solutions in a number
of specific applications. In addition, as technologies improve and
markets mature, distributed generation will find new niches. With
the emerging competition and improved technologies, the ability
of small, decentralized, and distributed power generators to provide
customers with solutions has led to significant business opportunities.
Applications for distributed generation include, but are not limited
to, the following cases:
- Allowing customers to generate their own electricity, with or
without grid backup
- Permitting customers to generate power while also serving their
thermal and/or cooling loads
- Giving customers the option of generating a portion of their
electricity onsite, to reduce their peak demand and/or lower the
amount of electricity purchased during peak price periods
- Permitting customers to sell excess generation back into the
grid when their own demand is low
- Allowing customers a cost-effective option to improve their
power quality
- Providing customers with "green" power
- Use of distributed generation by load aggregators
- Allowing utilities to realize transmission and distribution
system benefits
- Using distributed generation for gas/electric arbitrage
- Using distributed generation to balance supply and demand
- Using distributed generation to provide ancillary services at the distribution level
Existing and potential stakeholders in the energy industry are
evaluating where distributed generation should fit into their business planning process.
What is still needed by most players is a detailed, quantifiable
justification for making a business investment in distributed generation opportunities
and a plan for responding to potential threats. Going beyond conceptual
theory, detailed economic analyses and numeric valuations of applying
distributed generation in your potential markets are needed. RDC helps sort out when,
where, how and under what circumstances distributed generation makes sense and how to
respond to distributed generation threats. You will then be able to make sound business
decisions based on actual market and technology information.