It’s A Match – Who Really Buys DERMS And What They Actually Need

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It’s A Match – Who Really Buys DERMS And What They Actually Need

The rise of distributed energy resources (DERs) is transforming the energy landscape – fast. Solar, storage, electric vehicles (EVs) and flexible loads are flooding into the grid edge, pushing infrastructure, operations and business models to their limits.

Enter DERMS: distributed energy resource management systems. DERMS can be defined as software platforms or systems that manage and optimize the operation of DERs for grid support, network management and value creation from energy assets. But if you think there’s a single DERMS solution out there for everyone, think again.

Despite how it’s often pitched, DERMS isn’t a product category with a one-size-fits-all platform. It’s not even one market. It’s a landscape – fragmented, evolving and increasingly tailored to the specific needs of very different buyers. Utilities, municipalities, commercial facilities and aggregators don’t just want different dashboards – they have fundamentally different goals, operating environments and risk profiles. Here are four buyer profiles that define what DERMS offerings need to deliver:

Jo, the Grid Operator
Jo sits in the control room of a distribution utility, staring at a system that wasn’t built for what’s coming next. DERs are popping up faster than transformers can be replaced. Hosting capacity is getting tighter. Jo is tasked with keeping the lights on in a grid under stress. For Jo, DERMS is about situational awareness, control and resilience. It needs to plug into SCADA and ADMS, respect regulatory rules and help balance real-time grid conditions. Features such as dynamic hosting, flexibility dispatch, and visibility into both utility- and customer-owned DERs are critical.

Jo’s DERMS must answer the question: “Can we keep the lights on when DERs are no longer passive?”

Isra, the C&I Energy Manager
Isra manages energy for a sprawling industrial site or corporate campus. They have solar on the roof, batteries on site – maybe even EVs in the parking lot – but no clear way to orchestrate it all. DERMS, to Jo, is less about grid stability and more about ROI, simplicity and insight. They want one interface to control their energy assets, cut costs and participate in demand response (and maybe even get paid for flexibility). But it needs to be hands-off enough not to disrupt operations.

Isra’s DERMS must answer the question: “Can we turn energy complexity into operational advantage?”

Taylor, the Community Energy Operator
Taylor operates a microgrid or coordinates energy for a municipality, tribal nation or regional authority. The goals aren’t just technical – they’re social: energy independence, climate resilience and equitable service. DERMS here needs to support local control, integrate with planning tools and enable neighbourhood-scale optimization. Think rooftop solar + community storage + back-up generation: all orchestrated without needing full-scale utility infrastructure. US federal programmes such as the Grid Resilience and Innovation Partnerships (GRIP) Program are fuelling these initiatives, but the tech stack must follow suit.

Taylor’s DERMS must answer the question: “Can we build a resilient, just energy system from the ground up?”

Ashley, the Aggregator
Ashley runs programmes at scale. Think thousands of smart thermostats, batteries and EVs. Their focus? Enrol, control, comply and monetize. With policies such as FERC 2222 creating new market pathways, Ashley needs a DERMS that can deliver dispatch-grade performance, regulatory compliance and customer engagement tools – at population scale. Automation, fleet visibility and market integration are non-negotiables. And the DERMS must handle the operational back-end – forecasting, settlement and reporting – while giving customers a seamless experience.

Ashley’s DERMS must answer the question: “Can we scale flexibility without scaling complexity?”

So… which DERMS Is Right?
That depends on which seat you sit in. Our research shows that understanding your DERMS identity – whether you're a Jo, Isra, Taylor or Ashley – is the fastest way to cut through the fog. DERMS is a matrix. The smartest buyers aren’t looking for the platform with the most features; they’re looking for the best match for their identity, goals and constraints. In a market where everyone is chasing flexibility, the smartest path forward isn’t more features – it’s better alignment.

Want the full picture? Explore our full DERMS Buyer’s Guide to see how leading platforms map to real-world buyer needs and our DERMS Market Trends report for more detail on the DERMS solution types and technology trends in the space.

Industry Analyst

Hector is an Industry Analyst in the Verdantix Net Zero and Energy Transition practice. His current research agenda focuses on distributed energy resource management systems. Prior to joining Verdantix, Hector worked at Jacobs where he gained experience in energy technologies, decarbonisation and net zero strategies. Hector holds a BEng in Mechanical Engineering from the University of Bath and an MSc in Sustainable Energy Futures from Imperial College London.