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Demand Response

New England ISO


The ISO New England (ISO-NE) is a regional transmission organization (RTO), serving Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island and Vermont. ISO New England meets the electricity demands of the region by operating the New England bulk electric power system, providing centrally dispatched direction for the generation and flow of electricity across the region's interstate high-voltage transmission lines, administration of New England's wholesale electricity marketplace, and manages the market planning process.

Economic Programs

The Real Time Price Response program allows qualifying customers to take advantage of periods of high market prices. The ISO will notify participants when prices are forecasted to be more than $.10/kwh either the night before or during the event day. Customers are paid an energy payment for the hours they participate, and their participation is strictly voluntary. In the Day-Ahead option, customers bid their load into the Day-Ahead Market, and are notified if their bid has cleared by 16:00 the day before the event day. They are then obligated to reduce load during the cleared hours to match their bid commitment.

Reliability Programs

The Real Time Demand program is designed for qualifying customers that can make a commitment to reducing load during a regional reliability event. The customer can select whether to reduce load within either 30 minutes or 2 hours of the ISO request, which determines the amount of the energy payment received. A higher payment goes to customers that can respond quicker. The customer is paid a capacity payment based on the ICAP Market Price (or a transition payment) for their commitment as well. This program requires 5 minute interval meter data transmitted by Internet Based Communication System (IBCS).

To learn more about New England Demand Response programs click here.

Program Summary

ISO-NE ProgramReal Time Demand Response (Reliability)Real Time Price Response (Economic)Day -Ahead Load Response (Economic)
Minimum 100 kW 100 kW 100 kW
Notification 30 min or 2 hrs D/A advisory and during the day 4 pm the day before if bid clears
Interruption Length minimum 2 hours max not defined Can be called anytime from 7 a.m. and 6 p.m. Customer Preference
Capacity Payment Yes No Yes
Energy Payment > of Real Time Price or $500/MWh ($350/MWh for 2 hour notice) > of Real Time Price or $100/MWh > of Day Ahead Price or bid price
Payment Trigger When enrolled; energy payment when event called. When bid accepted When bid accepted
Payment Schedule Within 30 days of receipt of payment.
Equipment IDR & internet-based communications system IDR or ISO-approved M & V plan IDR or ISO-approved M & V plan

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