These require incentives for consumers to participate, usually by offering cheaper rates for off peak electricity.
Solutions to the load balancing problem focus on "smart grid" technology, in which many consumer and industrial appliances would communicate with the utility using digital means, and could be switched on and off by the utility to run at off-peak hours.
[4] In a very basic demand balancing system, the power company sends a signal down the line or by a dedicated phone chip to turn on a special circuit in the home.
Typically, a storage device for space heating or a water heater will be connected to this circuit.
Manufacturers can provide priority settings on their machines and the power company sending a number of signals as they need more demand to balance supply, or set the machine for lower priority to use lower cost energy.