Demand Response

Facilities which have the capability to curtail or interrupt their energy consumption when the “grid,” or power delivery infrastructure, is nearing capacity are candidates for demand response programs. Under these programs, the program sponsor (usually an independent system operator or “ISO”) pays the customer for making its load subject to interruption. Among the potential benefits, depending on which program you enroll in:

• Get compensated just for being on stand-by as a demand response participant.
• Get compensated when an event (power interruption) is called.
• Flexibility to choose between manual and automated compliance when an event is called.
• Have the opportunity to specify dates on which you will not be able to curtail your load.
• Demonstrate your organization’s leadership in conservation.

Demand response programs vary widely by state, but there are limits on how often and for how long you can be called upon to interrupt your power consumption. You’ll also be given enough notice before an event is called to make arrangements so your business activities won’t be disrupted.