Dividends with Demand Response
A new wave of demand response (DR) programs offers commercial facilities the opportunity to earn money by managing electrical loads in response to market prices. The DR programs are offered by independent system operators (ISOs), which are entities that operate transmission grids, preserve system reliability, and operate spot market auctions where buyers and sellers can meet to complete their obligations. Programs are designed to integrate load curtailments directly into system operations. ISOs typically pay participants amounts equivalent to what generators are paid for equivalent services.