EnerNOC knocks on the door of large energy customers and kindly asks them to dim the lights. Not literally of course, but the company has added its technology to utility companies' traditional demand response model. Rather than manually calling up their largest end users, EnerNOC's Network Operations Center (NOC) through its DemandSMART program remotely monitors their customers' energy assets and has the capability to adjust their electrical use. It caters to commercial, industrial, and institutional organizations, as well as electric power grid operators and utilities. EnerNOC operates across the US and in Australia, Canada, New Zealand, and the UK.
At the end of 2011 the company was serving 4,900 commercial, institutional, and industrial accounts on 11,400 customer sites tied into its demand response network, managing more than 7,100 MW of demand response capacity.
Other energy management applications and services provided by EnerNOC include EfficiencySMART(data-based energy efficiency options), SupplySMART (energy pricing and risk management services), and CarbonSMART (carbon emission management).
The company is seeking to respond to the industry trends of increasing automation of power grids and stricter environmental controls on power production. It is leveraging its track record and scale of operations to expand into other states in the US, and grow its international profile. (EnerNOC moved into the UK in 2009, providing services to National Grid's Short-Term Operating Reserve program).
As part of this push, in 2010 it bought energy management and demand response wireless technology services provider M2M Communications, which manages hundreds of MW of demand response across the US.
In 2011 the company acquired California-based Global Energy Partners. By adding Global Energy Partners' client list of major utilities, and expertise its in utility energy efficiency and demand response programs, EnerNOC expanded its market reach with a broader portfolio of services.
In 2011 EnerNOC also expanded its global coverage, buying Energy Response Pty Ltd, the largest demand response provider in Australia and New Zealand.
The company saw a 2.3 % growth in revenues in 2011 thanks to acquisitions of energy management response companies, which overcame a dip in sales of demand response services (mainly due to weak prices in PJM Interconnection's service area). Net income slumped from $9.6 million in 2010 to a net loss of $13.4 million in 2011 due to an increase in selling and marketing, administrative, and R&D costs. – less