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Subject: RE: [energyinterop] DR Program



Why should we overload “price” when the intent is load control/shaping for other reasons beyond market/cost?


Unless we all agree that price is the one and only signal needed for all different types of use cases, then I believe we should have different signals addressing different use cases.


With kind regards,



Michel Kohanim, C.E.O

Universal Devices, Inc.


(p) 818.631.0333

(f) 818.708.0755




From: Ed Cazalet [mailto:ed@cazalet.com]
Sent: Monday, September 14, 2009 8:59 PM
To: 'Girish Ghatikar'; 'OASIS-EnergyInteropTC'
Subject: RE: [energyinterop] DR Program


EnergyInterop TC


Helpful description.


Whether dynamic tariffs are associated with a DR program or are offered outside of a DR program, would we not want to use the same price signals to make it easy for everyone?  Also would the price signal not be the same

whether the price signal is market based or dispatch based?  



Edward G. Cazalet, Ph.D.

101 First Street, Suite 552

Los Altos, CA 94022


cell: 408-621-2772




From: Girish Ghatikar [mailto:GGhatikar@lbl.gov]
Sent: Monday, September 14, 2009 7:03 PM
To: OASIS-EnergyInteropTC
Subject: [energyinterop] DR Program


EnergyInterop TC,

As per 09/09 meeting, I am attaching the DR program definition description as a deliverable from Mary Ann and me. Please check the attached document (also copied below) and send your comments. Otherwise, looking forward to talking further on this during next meeting on 09/16.

DR Program

DR programs offered by a utility and/or ISO  are designed for the customer to reduce load for the purposes of electric grid reliability and/or lowered energy costs. DR programs can be part of a contractual agreement or voluntary program and may be applied to certain types of tariffs or other economic payments. The DR programs across the United States vary based on the types and end-use customers and are broadly classified as reliability-based (includes emergency) response and price response programs.

DR programs may be included in both or retail or wholesale markets.  DR programs have time scales that may include day-ahead, day-of, or very fast transaction requirements.  DR programs may include prices, bids, demand reduction levels, and other information about the demand response requirements.

Dynamic tariffs associated with DR programs can be an integral part of a DR program in which case the tariff can be interpreted as a DR program. For dynamic-pricing DR programs, including critical or variable peak, or real-time pricing (RTP), the DR resources might be an integral part of a utility and/or ISOs DR program under a contractual agreement (e.g., explicitly dispatch DR events to the customer) or voluntary program (e.g., publish prices for market-based response for a customer to save costs or societal value) participation. These dynamic-pricing programs, under market-based response, could be used by the utilities and/or ISOs to eliminate the need for explicit dispatch of DR programs for customer’s resource availability and to get a certain reliable response. The type of standards, information exchange, and technology used within any DR programs for automation depends on this high level of classification of utilities’ and/or ISOs explicit dispatch or market-based interactions and the facility’s availability to respond.

Some DR programs allow customers to participate in more than one program. If more than one program is called during the same time the program rules need to be clear which program takes priority.

Thank you,


Rish Ghatikar
Lawrence Berkeley National Laboratory
1 Cyclotron Road, MS: 90-4000, Berkeley, CA 94720
GGhatikar@lbl.gov | +1 510.486.6768 | +1 510.486.6996 [fax]

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