Distributed Energy Resource Management System (DERMS)
A Distributed Energy Resource Management System is the software platform utilities use to monitor, forecast, and dispatch thousands of rooftop solar systems, batteries, EV chargers, and flexible loads. DERMS platforms ingest data from advanced meters, inverters, and building management systems, providing operators with visibility into feeder-level flexibility.
Core functions include hosting capacity analysis, voltage management, constraint-based dispatch, and market participation interfaces for aggregated DER portfolios. DERMS integrates with SCADA, outage management, and customer engagement tools to ensure dispatch commands respect protection limits and customer agreements.
Utilities deploy DERMS to comply with interconnection reforms, integrate virtual power plants, and defer upgrades through locational flexibility procurement. Developers interact with DERMS to register assets, receive dispatch instructions, and verify compensation for services rendered.
Regulators evaluate DERMS capabilities when approving tariffs and funding for distributed energy programs, making vendor selection and roadmap transparency a competitive differentiator for utilities seeking capital support.
Technical Details
- •Aggregates telemetry from DERs via AMI, inverter APIs, and IoT gateways
- •Runs constraint-based optimization to dispatch flexible assets
- •Interfaces with SCADA, ADMS, OMS, and market platforms
- •Supports IEEE 2030.5, OpenADR, and other interoperability standards
- •Enables locational flexibility procurement and non-wires alternatives
Why It Matters
DERMS platforms define how fast distributed flexibility can be monetized. Tera's Company Intelligence module catalogs DERMS deployments, vendor partnerships, and procurement timelines so developers can align VPP offerings with each utility's capabilities.
Related Features
Exclusive Market News
Newsletter
Get exclusive market intelligence, data-driven insights, and strategic analysis on global electricity markets. Receive updates on emerging trends, regulatory developments, infrastructure projects, and investment opportunities that impact your energy strategy and decision-making.
