Utilities have in the past and are currently deploying field apparatus, controls, software, and communications products in order to manage distribution system VAR flow to minimize technical losses and exposure to VAR support charges from generation and transmission providers. Increasingly, utilities are also looking at products to manage distribution system voltages in order to reduce demand and energy consumption and achieve significant energy savings.
Such conservation voltage reduction (CVR) strategies reduce demand and energy consumption while maintaining customer voltage power quality per established standards. The operational benefits are improvements in energy efficiency and system voltages in the distribution system. The business benefits are a greater percentage of energy delivered to paying customers, deferment in investment in peaking generation plants and charges, and a reduction in the environmental impact of energy delivery.