This work is aimed at studying the profitability of Household DSM which is a Demand Response (DR) solution aiming at providing power margins to the non-automatic Balancing Market (BM) by load-shedding of domestic electric heaters. After a large literature review aiming at better understanding the balancing market context in Europe, a deterministic model has been applied on the Swedish case in the 2020 timeframe, considering as well the involvement of Electric Vehicles (EVs) flexibility margins. It finally shows that due to investment costs distributed in each household, such solution is not feasible in short-term in locations which are not suffering a significant shortfall risk.
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