Dynamic demand is the use of low-cost electronics fitted to appliances such as refrigerators and freezers, so that they time their electricity consumption in response to conditions on the National Grid, creating a national energy-storage solution.

A new report published in August 2007 from the Business, Enterprise and Regulatory Reform department sets out the Government's preliminary view of the potential of dynamic demand to make savings in carbon emissions.

Government-funded research will:

• Quantify the carbon savings that would arise from implementation of dynamic demand on the UK system.
• Verify the grid system benefits indicated by preliminary studies.
• Assess the technology's potential to help integrate renewable energy sources such as wind and solar onto the grid.
• Set the scene for establishment of a 'dynamic demand standard' and incentive mechanism.

Dynamic Demand controlled appliances such as fridges and freezers could, by reducing the amount of electricity they use during peak periods, eventually save an estimated two million tonnes of CO2 emissions a year when fully integrated across the network .

A dynamic demand clause appeared in the Climate Change and Sustainable Energy Act in 2006, committing the Secretary of State to assessing the technology and what support should be provided by Government.

Dynamic Demand is a not-for-profit environmental advocacy organisation set up three years ago to promote this technology. More information about Dynamic Demand - both the technology and the organisation - can be found here.

The government report can be downloaded here.