What is demand flexibility?

Demand flexibility is complex but well worth the effort. The goal can easily be summed up in one word: optimization. It isn’t enough to just plug renewables into the grid. We have to make sure everything works together in the most beneficial ways. And that’s what demand flexibility is all about. Demand flexibility achieves many goals:

• Curbing electricity demand when the strain on the grid is high. Demand flexibility does this in many ways. It tells our appliances, like smart thermostats, EV chargers, water heaters, and heat pumps, to consume more electricity when demand is low (overnight) or when renewables are in active production (like midday for solar). This helps avoid costly investments in transmission and helps avoid brown-outs and other resilience risks.
• Assisting marginalized and income-qualified communities gain equal access. Through time-of-use rates, demand response programs, and utility energy programs, communities that struggle with their energy bills can have utilities help them manage their consumption to lower their monthly costs.
• Promoting the interconnection and growth of renewable energy programs. By shifting demand to midday (when the sun is shining) and overnight (when the wind is blowing), demand flexibility programs and technology move more demand to align with renewable energy production. 

Where is demand flexibility heading?

Based on findings from AESP’s 2024 and forthcoming 2026 State of Demand Flexibility Report.

Official 2026 Demand Flexibility Day Partners