What is the objective of demand-side management (DSM)?

The objective of demand-side management (DSM) is to control consumer usage to match the supply from the electrical grid. This strategy involves various techniques and programs that encourage consumers to modify their energy consumption patterns, typically during peak demand hours. By managing and optimizing how electricity is used, DSM helps prevent overloads on the grid, reduces the need for additional power generation, and enhances overall energy efficiency.

This approach benefits both consumers and utility providers. For consumers, it can lead to cost savings through reduced energy bills and incentives for lowering consumption during peak times. For utilities, effective demand-side management enables better load balancing, leading to improved reliability and stability of the electrical grid.

The other options do not align with the fundamental goals of DSM. Increasing consumer energy costs does not promote efficient energy use, and while lowering overall energy production might seem beneficial, DSM's aim is to match demand with supply rather than necessarily reducing production. Finally, eliminating energy consumption is neither practical nor desirable since energy is essential for daily activities and economic functions. Instead, DSM seeks to manage and optimize energy consumption without drastic reductions.