The Energy Market Authority (EMA) launched the Demand Side Management (DSM) Sandbox in October 2022. Eligible companies can participate in the Sandbox from 1 January 2023 to 31 December 2024.
The Sandbox enhances the existing Demand Response (DR) and Interruptible Load (IL) programmes by lowering the compliance thresholds and penalty amount for DR to encourage more commercial and industrial companies to optimise their energy usage.
During this period, all Load Registered Facilities (LRFs) will continue to be subjected to the existing compliance thresholds and penalty amounts via the Automatic Financial Penalty Scheme (AFPS) daily. If the participant assesses that it should not have been penalised or the penalty amount should have been lower under the DSM Sandbox scheme, it can submit the penalty refunds request to the EMA and EMC.
By reducing their electricity consumption during periods of high prices and/or when there is tight supply, companies can not only lower their electricity bills but also receive payments as incentives.
Companies keen to participate in the sandbox may register their interest with the EMA here.
The table below shows the refunds made to LRFs since the implementation of the DSM Sandbox in 2023.