BESS Battery

How DERs and Smart Software Are Reshaping Energy Savings

The electricity grid is undergoing a profound transformation. Aging infrastructure, rising energy costs, regulatory changes, and the urgent push to reduce emissions are converging with technological advances to create new opportunities for energy consumers. At the center of this transformation lies a powerful combination: Distributed Energy Resources (DERs), Energy Storage, and intelligent Energy Management Software.

This extensive guide compiles insights from Edgecom Energy’s most trusted research and blog content to help you explore practical ways to save on energy, earn revenue, and boost energy resilience—all with technology that’s already available today.

What Are Distributed Energy Resources (DERs)?

DERs

Distributed Energy Resources (DERs) refer to smaller-scale electricity generation and storage systems that are located close to where energy is consumed. They can take many forms, including rooftop solar panels, battery systems, natural gas generators, wind turbines, fuel cells, and building automation systems (BAS) that adjust energy use in real time. These decentralized systems allow organizations to take control of their energy usage, lower operating costs, and contribute to grid stability.

Beyond simply reducing reliance on centralized utilities, DERs offer additional advantages such as improving energy security, reducing emissions, and providing backup power during outages. With the right configuration and control system in place, DERs can be transformed from passive support systems into active revenue-generating assets that contribute to broader energy market participation.

Why Energy Storage Matters

Battery energy storage systems (BESS) are one of the most effective tools for maximizing the value of your DER setup. A well-integrated storage system allows facilities to store excess electricity generated during low-cost periods and dispatch it when electricity rates are at their peak. This creates opportunities for energy arbitrage, cost avoidance, and added reliability.

Different battery chemistries support various applications. Lithium-ion batteries, particularly Lithium Iron Phosphate (LFP), are widely adopted due to their energy density, safety, and long lifecycle. Lead-acid batteries offer a lower-cost alternative for low-use scenarios, while flow batteries provide longer-duration storage with the added advantage of scalability. Each technology has a role to play, depending on the load profile and operational priorities of your facility.

Energy storage enhances grid flexibility, supports renewable energy integration, and allows for backup power during grid interruptions. It also enables strategies like peak shaving, where demand during the most expensive periods is minimized, and grid services like frequency regulation, which help maintain the balance of electricity supply and demand.

Intelligent Energy Management: The Role of EMS and DERMS

Orchestrating these energy systems efficiently requires more than just hardware—it requires smart software that makes real-time decisions based on weather, grid conditions, energy pricing, and site demand. Energy Management Systems (EMS) and Distributed Energy Resource Management Systems (DERMS) serve as the brain behind your DER infrastructure.

NeuraCharge™ is Edgecom Energy’s vertically integrated EMS solution. It provides real-time monitoring and control of batteries, solar panels, and other DER assets, ensuring that energy is used, stored, or dispatched in the most cost-effective way. NeuraCharge™ also facilitates participation in incentive programs, automates market bidding, and optimizes battery charging to extend lifespan.

Using DERs to Monetize Energy

When deployed strategically, DERs can do far more than offset energy consumption—they can actively generate revenue. One of the most straightforward methods is energy arbitrage, where batteries charge during off-peak hours when prices are low and discharge during peak pricing periods. This simple pricing strategy can lead to substantial savings and additional revenue streams.

Participating in demand response and coincident peak programs allows facilities to reduce consumption during periods of high grid stress. In Ontario, the Industrial Conservation Initiative (ICI) enables large energy users to significantly reduce their Global Adjustment costs—sometimes by hundreds of thousands of dollars per megawatt—simply by managing their load during peak events.

Facilities that generate more power than they consume, particularly through solar or wind installations, can export excess energy to the grid. Through programs like Net Metering, customers receive credits on their utility bill. In Alberta, energy export programs allow facilities to sell energy at real-time market prices, enabling dynamic revenue opportunities.

Popular revenue-generating strategies include:

  • Energy Arbitrage – Buy low, sell high by charging/discharging storage.
  • Demand Response – Earn incentives for reducing demand during grid stress.
  • Net Metering – Offset costs by exporting excess solar or wind energy.
  • Wholesale Market Participation – Bid excess energy directly into the grid.
  • Virtual Power Plant (VPP) Enrollment – Aggregate your DERs with others to act as one larger energy provider.

Ontario’s Global Adjustment: A Key Driver

The Global Adjustment (GA) is one of the most significant charges on electricity bills in Ontario, often comprising more than 60% of total costs for commercial users. GA funds long-term electricity contracts, conservation programs, and infrastructure improvements—but for large Class A customers, these costs can be reduced dramatically through strategic peak management.

Using NeuraCharge™, facilities can monitor upcoming peaks, automate load reductions, and activate behind-the-meter resources like BESS or gas generators. When executed properly, this strategy results in hundreds of thousands of dollars in annual savings without requiring operational disruptions.

Choosing the Right Mix: BESS, Generators, and Hybrids

No two facilities are exactly alike, and therefore, the ideal mix of technologies varies widely. Battery systems are perfect for facilities that need fast-acting, emissions-free response and have frequent opportunities to participate in peak pricing events. Natural gas generators are ideal for longer-duration support and can be configured as Combined Heat and Power (CHP) units to simultaneously provide electricity and heating, improving overall efficiency.

Hybrid systems that combine both technologies deliver a balance between quick response and endurance, making them attractive for facilities like hospitals, data centers, and large manufacturing operations. Fuel cells, though still emerging, offer long-duration operation with zero emissions and are well-suited for facilities with strict sustainability requirements.

Some facilities are also beginning to experiment with newer forms of energy storage, such as gravity-based systems and molten zinc batteries. While these technologies are still developing, they offer potential for long-term, low-maintenance storage solutions.

Safety, Cybersecurity & Integration

Safety, interoperability, and cybersecurity are essential considerations in modern energy systems. NeuraCharge™ is built with secure communication protocols and can integrate with a variety of platforms, from legacy control systems to the latest IoT-enabled devices.

Battery safety is ensured through the use of stable chemistries like LFP and by embedding remote diagnostics and fail-safes into the system. Cybersecurity protections ensure that data privacy, system integrity, and grid reliability are never compromised—even as more DERs connect to the grid.

Government Incentives: Making the Financial Case Stronger

Investing in energy infrastructure can be costly, but government programs like Canada’s Bill C-59 offer substantial financial support. The Clean Technology Investment Tax Credit provides a 30% refundable credit on qualifying investments, including battery storage, solar panels, and other DER infrastructure.

Incentives under Bill C-59 include:

  • 30% refundable tax credit on eligible clean energy investments
  • Support for carbon capture and storage technologies
  • Extended tax breaks for zero-emission technology manufacturers
  • Rural supplements and labor requirements that promote equitable development

When paired with the ongoing savings from energy optimization and market participation, these incentives shorten payback periods and improve long-term ROI.

Final Thoughts: Turn Energy Into a Strategic Asset

Energy is no longer just an operational necessity—it is a strategic lever for cost savings, resiliency, and revenue generation. By adopting distributed energy resources, implementing storage systems, and leveraging intelligent EMS platforms like NeuraCharge™, organizations can transform their approach to energy management.

Instead of being reactive to utility rate hikes and grid instability, you can become proactive—optimizing when and how energy is used, reducing exposure to market volatility, and even turning your facility into a source of income.

Ready to take control of your energy future? Join our video series for FREE to learn how NeuraCharge™ can help you optimize, automate, and monetize your energy strategy by clicking below NOW.

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