Challenges of Implementing Demand Side Management in Developing Countries

The energy crisis along with increasing per capita energy consumption of cities and nations poses a worldwide challenge. Smart grid technology facilitates the shift to more sustainable technologies such as microgrids, distributed generation, demand side management, and advanced metering infrastructure. This paper is mainly focused on demand side management (DSM); conventional and recent models of demand side management found in the literature are discussed. Implementation and practices of demand side management at various locations in India are also unveiled. With 16 pilot smart grid projects underway in India, there is a need to report on how smart grid technologies are living up to their potential. It is also essential to identify and discuss related challenges and the issues in the implementation of DSM. This paper focuses on analyzing global best practices in DSM and their implementation to fulfill the estimated potential, particularly in the residential, industrial and agriculture sectors.