Demand Response in the Engineering Industry : Based on a case study of Volvo Powertrain Production in Köping

Abstract: The climate change is driving a change in technology and promotes intermittent electricity; solar and wind, and also promotes new technology such as electrical vehicles. The increased share of intermittent  power and changed patterns of using power causes large strain on the powergrids during critical hours of the year. The system The Eergimarknadsinspektionen as well as the European transmission system operators are therefore requesting that electricity users adapt their power consumption to when power is generated. This is rather opposite to the present situation where the TSO’s respond to the customers demand by increasing their power generation. This new change of customers adapting to the current power available is called Demand response (DR). The thesis investigates drivers, barriers and potential for demand response within the engineering industry. It is based on interviews with representatives from enginering industries, system operators as well as a case study on Volvo Group Trucks Operations Powertrain Production in Köping. The potential is also determined through a simulation carried out in collaboration with Johan Norberg, a masterstudent at the Royal Technical Highschool. The conclusion states that it is possible for Volvo Pwertrain to participate in DR events, however the economical compensation identified in this thesis is not enough.