Energy efficient residential areas through smart grids

The transition towards a more sustainable energy supply system requires more flexible and efficient operation of the electricity distribution grids. By using demand side management energy efficiency in residential areas can be increased. In this paper the potential of demand side management from the perspective of the distribution system operator is discussed. Consequently it is illustrated how smart grid pilots in residential areas are designed in order to validate this potential, by investigating the customers' change in electricity consumption, and to show the impact of different demand side management approaches. Insights into the opportunities of smart grids validated with the experience gained during the pilots, can support distribution system operators to develop their grids and determine future investment strategies.