Load Response: Economic Programs
Load Response

Economic Programs

Many businesses today don't realize they have an untapped opportunity to create new revenue and reduce their energy costs.

By participating in economic load response programs, businesses play the role of power plant - volunteering to curtail their energy load at high-demand times of the day.

Based on Real-Time or Day Ahead market costs for electricity, businesses can bid in their proposed energy reductions—committing to curtail usage when hourly prices are high. This lets operators reduce the amount of electricity they need to supply the next day.

Businesses benefit by avoiding the cost of usage at their given curtailment times and by receiving financial incentives from operators. The greater the need, the higher the payment

Monetizing Curtailment with VirtuWattTM

VirtuWatt - Constellation's intuitive, online technology solution for managing and analyzing energy usage - simplifies participation in beneficial bid programs.

Economic program customers can use the VirtuWatt Marketplace to easily make and manage bids with access to real-time pricing and usage information across the enterprise. VirtuWatt's Real-time and Day Ahead price reporting helps customers decide when to sell their curtailed load back into the market.

VirtuWatt also provides a variety of dynamic portals and functions to:

  • Monitor total grid load and pricing per zone
  • Manage settings of building lights, thermostats and more (in conjunction with a building automation system)
  • View accurate weather forecasts to predict possible demand surges

Customers can access VirtuWatt from desktop computers and mobile devices, including iPhone® and iPad® devices, iOS 4.0 or later.

If you have the ability to reduce load within your facility, Demand Response may be a program you can participate in to earn additional revenue. Have one of our specialists contact you.


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Recent Regulation

FERC Order 745 - requires all operators to pay businesses participating in economic and other demand response programs the market price for energy curtailed, referred to as the locational marginal price (LMP). This ensures fair compensation for curtailed energy as well as consistent pricing to aid in business planning.