What is demand response and how does it function?
Demand response seeks to adjust in real-time the demand for power instead of adjusting the supply. It functions as a technology-enabled economic rationing system for electric power supply.
Questions about Demand response
Short answers, pulled from the story.
When did Ontario experience negative electricity prices between 2006 and 2007?
In Ontario between August and September 2006 wholesale prices ranged from $318 per MW·h to negative $3.10 per MW·h. Negative prices indicate producers were charged to provide electricity to the grid while consumers receiving rebates for consuming during those periods.
How much money could be saved by reducing peak demand by 10 percent according to Carnegie Mellon studies?
An approximately 10% reduction in peak demand could yield system savings between $8 billion and $28 billion. These figures come from two Carnegie Mellon studies in 2006 examining real-time pricing for the PJM Interconnection serving 65 million customers with 180 gigawatts of generating capacity.
Why did the D.C. Circuit Court of Appeals vacate Federal Energy Regulatory Commission Order No. 745 on May 23rd 2014?
The United States Supreme Court agreed to review the ruling on the 4th of May 2015 addressing authority under the Federal Power Act. In a 6-2 decision on the 25th of January 2016 the court concluded FERC acted within its authority to ensure just and reasonable rates.
What percentage of total U.S. peak demand does potential demand response capability represent as of 2007?
A published report estimated potential demand response capability equaled about 20,500 megawatts representing 3% of total U.S. peak demand. Actual delivered peak demand reduction reached about 9,000 MW leaving ample margin for improvement.