Demand Response Potential from the Bulk Grid Perspective

Abstract

Gain insight from an exploration of the potential value of demand response (DR) in future power systems. Using hourly DR resource estimates by sub-sector, electrical end-use, and grid service, we incorporate virtual generator models of DR resources into large-scale production cost models, and analyze the grid-level impacts in terms of the ability of DR to reduce system costs and potentially help integrate renewables or reduce system emissions. Additionally, we examine the value of DR, its revenue, and how these change under different system conditions. In this panel session, we will describe our input data and modeling methods, provide an overview of the production cost models used, and summarize key results from analyses in Florida and the western United States. Findings include variations in DR value by end-use and geography, an ability to increase economic PV deployment potential in high penetration systems, and mixed emissions outcomes depending on system composition and fuel prices.