Techno-Economic Analysis of Future Process-Specific Demand Response in European Industries

The evolving European energy transition, characterized by an increasing reliance on intermittent renewable energy sources, necessitates a paradigm shift in the electricity supply-demand dynamics. To enhance grid stability and reliability, demand response adoption by electricity consumers is crucial. The manufacturing industry, a significant electricity consumer with a history of contributing flexibility to power systems, is poised to play a pivotal role in future balancing power provision. Presently, the industry is providing demand response below its actual potential. This study explores the future techno-economic potential of demand response in energy-intensive industry processes. Present and future process-specific flexibility potentials are derived through an extended industry demand simulation model. The analysis incorporates diverse decarbonization measures, doubling the demand response potential by reaching about 29 GW in load decrease and 11 GW in load increase potential in the target scenario for Europe in 2050.