Business case or paradoxical decision-making frame? What's influencing Australian managers' participation in energy demand response

Abstract

Meeting the challenges of rapid progress to net-zero emissions requires action from both electricity generators and consumers. Through their participation in energy management programs, such as demand response, businesses can contribute to the provision of much needed balancing services for electricity markets to ensure reliability and security of supply under an increasing volume of renewable energy. However, how businesses decide to participate in these programs and what factors influence these decisions is not well understood. This study interviews managers in 23 commercial and industrial businesses to investigate the decision-making process used by these managers when deciding to participate in demand response programs. We highlight the integrated nature of the cognitive processes involved, and the factors which influence these decisions (including information sought). Intervention points are identified with application for utilities, regulators, policy makers and demand response program providers seeking to increase commercial and industrial participation in demand response.