Load as a reliability resource in restructured electricity markets
Recent electricity price spikes demonstrate the value that demand-side responses could bring to a restructured US electricity system. This report considers how even a modest increase in demand elasticity could dramatically reduce these extremes in price volatility. The report provides a three-part assessment addressing the ability of customer's load to participate in competitive markets and the current and potential future role of customer loads as system reliability resources. The study begins by evaluating the extent to which customer loads might be able to provide electricity reliability or ancillary services and reviewing aspects of a large utility's direct load control program. The second phase of the assessment contains a survey of ways in which load has been used as a system reliability resource focusing on programs triggered by system conditions and a real-time price signal. It reviews the experience of: (1) the California ISO's Demand Relief and Participating Load programs; (2) Interruptible load programs in California; (3) the New England ISO's Load Management program; and (4) a ''mature'' program in New Zealand. The third phase of the assessment examines the status of the underlying metering, communication, and control technologies used to effect customer responses. The final section of the report provides a vision of how the future might look and uses it to outline a program of needed R&D to increase the role of customer loads as system reliability resources. Key elements of this research program include: addressing the needs of system operators, making effective use of load management assets, making use of new program design concepts, the design of end-use technologies, and benefiting from program experiences.
- Research Organization:
- Lawrence Berkeley National Lab. (LBNL), Berkeley, CA (United States)
- Sponsoring Organization:
- USDOE
- DOE Contract Number:
- AC03-76SF00098
- OSTI ID:
- 842611
- Report Number(s):
- LBNL-47983; ORNL/TM2001/97; TRN: US200516%%744
- Country of Publication:
- United States
- Language:
- English
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