The impact of electricity as a source of energy : "a demand side management perspective."

Abstract

The essence of this dissertation is to enlighten the client on those strategic options available for a financially viable energy source and is also aimed at increasing the electricity share of the energy market, which is currently approximately 25%. This dissertation focuses on the industrial sector of the economy. Energy sources available to the Industrial sector, namely coal, diesel, illuminating paraffin, heavy fuel oil, liquefied petroleum gas and electricity, were selected for this specific study and compared in eight geographic areas. These inland areas include Pretoria-Witwatersrand- Vereeniging (PWV), Bloemfontein, Pietersburg and Nelspruit, and the coastal areas include Cape Town, Durban, Port Elizabeth and Richards Bay. As the energy cost is not the only factor influencing the total cost of using a particular energy source, the objective for this study was also to evaluate energy sources on an effective cost basis, taking account of energy price as well as indirect costs and utilization efficiencies. The typical industrial application of steam generation was selected and the costs related to using various energy sources in this application evaluated. This study also considers critical factors likely to be taken into account by consumers when choosing an energy source, or deciding on an energy conversion, which includes Demand Side Management (DSM). DSM refers to a process by which electric utilities especially Eskom, in collaboration with consumers achieve predictable and sustainable changes in electricity demand. These changes are affected through a permanent reduction in demand levels (Energy efficiency) as well as time related reduction in demand level (Load Management)