The implementation of demand side management (DSM) not only has great economic benefit but also can heighten the reliability level of composite generation and transmission system. Based on the research of the impact of DSM on load curve, the paper respectively makes qualitative and quantitative analysis to the benefit impact of short-term and long-term DSM. The impact of DSM on failure probability of components are analyzed, and it's effects in improving system reliability from the point of view. At the end, from the long-term DSM point of view, the implementation scheme of DSM using improved AHP is determined, and qualitative and quantitative analysis to the benefit impact of DSM on composite generation and transmission system is made, which also takes account of the influence of the geographical differences of DSM implementation in the grid. The study hopes to provide a reference to DSM planning and guide on how to actualize DSM in phase and properly.
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