Definition: Deferred Generation Capacity Investments

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Deferred Generation Capacity Investments

Utilities and grid operators ensure that generation capacity can serve the maximum amount of load that planning and operations forecasts indicate. The trouble is, this capacity is only required for very short periods each year, when demand peaks. Reducing peak demand and flattening the load curve should reduce the generation capacity required to service load and lead to cheaper electricity for customers.[1]

References
  1. SmartGrid.gov 'Description of Benefits'


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