
The energy landscape is changing rapidly, thanks to the rise of renewable energy, electric vehicles (EVs), and evolving customer expectations. In this dynamic environment, Distributed Energy Resource Management Systems (DERMS) have become essential for navigating the energy transition. Partnering with EY, Schneider Electric delves into how DERMS can boost grid stability, optimize resource use, and support the integration of distributed energy resources (DERs).
The role of DERMS in modern energy grids
Today’s energy grids need advanced software solutions to manage a variety of distributed energy assets efficiently. DERMS offer greater transparency across all phases of DER management, from interconnection to real-time and future monitoring and control, enhancing grid stability and coordination of transmission and distribution (T&D).
Key benefits of DERMS include:
- Scalability and Operational Flexibility: Cloud-based energy management platforms provide scalability and operational flexibility in a secure and cost-effective way.
- Stakeholder Engagement: Successful DERMS implementations depend on engaging stakeholders across the organization.
- Cost-Effective Alternatives: DERs can offer a cost-effective alternative to traditional transmission resources and infrastructure upgrades.
- Maximization of Renewables: DERMS incorporates advanced forecasting and predictive analytics which lead to active control and optimization o DERs.
Enhancing grid reliability and resiliency
DERMS are vital for improving the reliability and resiliency of the electric grid. They give grid operators visibility into DERs, helping manage the intermittency of renewables and ensuring a stable energy supply. By optimizing load balancing, DERMS prevent overloads during peak demand. These platforms aggregate data from smart meters, sensors, and DERs, providing operators with real-time monitoring and control capabilities.
Streamlining DER interconnection
DERMS can streamline the DER interconnection process, from initial design to rapid connection approvals and capacity assessments. This flexibility allows utilities to respond quickly to connection requests, reducing wait times for developers and speeding up the deployment of renewable energy projects. Faster DER interconnection leads to a more diverse energy mix and improved grid reliability.
Balancing scalability with cybersecurity
The rapid growth of DERs and regulatory advancements pose challenges for DERMS implementation. Software must be scalable to manage both individual assets and aggregations of assets, while also being cyber-secure to ensure safe communications with multiple connected devices. Cloud-based solutions offer flexibility, computational power, rapid deployment, and easy updates, making them an excellent option for DERMS.
Empowering the workforce
As grid management systems become more complex, it’s crucial for the workforce to be prepared to navigate these intricacies. A human-centric approach to adopting DERMS fosters an environment where technological sophistication aligns with workforce capability. Effective stakeholder management and collaboration among utility team members are key to successful DERMS implementation.
Navigating the future of DERMS
Utilities need to weigh the benefits of stand-alone DERMS versus integrated systems that combine DERMS with Advanced Distribution Management Systems (ADMS) for better data sharing and efficiency. Additionally, distinguishing between Grid DERMS, which manage large-scale resources, and Edge DERMS, which optimize localized energy use, is important for effective energy management. Integrating AI into DERMS offers exciting opportunities for predictive analytics and real-time decision-making.
Summary
DERMS are the central nervous system of the next-generation electric utility. These platforms are crucial for modernizing the energy grid, optimizing distributed resources, and enhancing reliability. As the challenges of the modern energy landscape grow, DERMS not only manage technical complexities but also give way for innovation in utility operations. Their strategic implementation is key to a resilient, agile, and sustainable energy future, empowering utilities and their workforce to navigate an increasingly dynamic energy landscape.
About the author

Monika Jovic, Offer Launch Team Lead
Monika Jovic has been with Schneider Electric for over 13 years, currently serving as a Leader of the Offer Launch team and Product Marketing Manager in Digital Grid.
Monika began her career as a developer specializing in distribution resources and grid systems. She then advanced to the role of technical lead on global projects and later transitioned into product management. gaining deep expertise in ADMS, EMS and DERMS systems.
She brings a strong mix of product insight and market strategy, amazingly helping shape how Schneider’s smart grid solutions are positioned and communicated. Known for her clear thinking and collaborative style, Monika connects teams and ideas to drive meaningful results.
Her long-standing experience and calm, thoughtful approach make her a trusted voice across the organization.
Add a comment