The rapid growth of distributed energy resources (DERs)—such as solar, energy storage, flexible loads, and microgrids—is fundamentally reshaping distribution system operations. As DER adoption accelerates, utilities are facing grid conditions that legacy systems cannot manage effectively, including bidirectional flows, localized thermal and voltage constraints, limited behind-the-meter visibility, expanding interconnection queues, and heightened regulatory expectations for grid resiliency and reliability.
To address these challenges and fully leverage DERs, utilities must adopt a modern Distributed Energy Resource Management System (DERMS).
DERMS provides the forecasting, visibility, optimization, and coordinated control needed to transform DER variability into predictable, dispatchable flexibility. It is important to note that DERMS is not just a technological platform; it is also an operational capability that requires intentional strategy, procurement, implementation, and system integration across the entire utility. As DER adoption accelerates, DERMS has become essential to enabling safe, flexible, and future-ready grid operations. With a well-defined strategy, data readiness, rigorous procurement, disciplined implementation, and organizational alignment, utilities can turn the challenges of DER growth into strategic advantages, strengthening reliability, enhancing customer value, and paving the way for the grid of the future.
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