What does the term 'negawatt' refer to in energy management?

The term 'negawatt' refers to a unit of saved electricity, making it a crucial concept in energy management. It represents the idea that for every watt of electricity conserved or avoided through efficiency measures or demand-side management strategies, it is equivalent to producing a watt of energy. This notion emphasizes the importance of reducing energy consumption as a way to manage demand and enhance energy efficiency. The 'negawatt' concept encourages businesses and individuals to focus on reducing their energy usage rather than solely seeking to increase their energy supply, resulting in both cost savings and a lower environmental impact.