Demand Response

Demand Response – A simplified explanation

In our region (Pennsylvania, Ohio, Maryland, and New Jersey) the demand for energy has increased faster than available supply. In an effort to find alternative ways to meet peak demands, the operators of the electricity grid have developed programs that pay end users money if they are willing to be “available” to curtail the amount of energy that they use during the periods of highest energy demand. The grid operators are doing this because they are responsible for ensuring the overall reliability of electric service. That is, they do not want our lights to go out in times when the demand for electricity is at its greatest.

In many utility service territories in PA, OH, MD, and NJ, a customer can get paid (Up to $50,000 per year or more) for doing nothing more than being available to reduce the amount of energy that they consume. These programs are generically referred to as “Demand Response” programs.

In many utility service territories, customers get paid for being “available” but are rarely if ever called to actually reduce their energy consumption. To find out an actual history of load reduction requests over the past few years for your local utility service territory, ask your Premier Power representative.

At Premier Power Solutions, we will help you:

1) Understand the Demand Response Programs available in your utility service territory.
2) Understand how much money you can expect to receive under this type of a program
3) Understand what your “Capacity Obligation” is and how it affects the amount of money that you can receive under the program
4) Understand the role of a “Curtailment Service Provider” and why they are necessary
5) Be available as a back-up contact for potential load curtailments so that we can be assured that you actually receive the curtailment requests timely

Our fees for this service come from the curtailment service provider that we recommend and you select. We do not bill customers separately for our services under this program.

To talk to a Premier Power Representative about this program click here to send us your contact information or call us at 724-458-5600.