On June 1, 2018, a new price-responsive demand (PRD) structure went into effect in ISO New England’s marketplace. It includes the following types of demand response:
- Active demand capacity resources (ADCRs) can participate in the Forward Capacity Market (FCM). ADCRs will replace the resource type known as real-time demand response resources.
- Demand-response resources (DRRs) can participate in the energy and reserve markets.
- Demand-response assets (DRAs) are the physical entities delivering megawatts. They cannot directly participate in the marketplace.
The following requirements are illustrated in the diagram below.
- ADCRs with a capacity supply obligation (CSO) must be mapped to at least one DRR.
- The CSO requires the associated DRRs to participate in the Day-Ahead and Real-Time Energy Markets up to the DRR’s availability or the CSO of the ADCR, whichever is lower.
All DRRs mapped to an ADCR must be located in the same dispatch zone as the ADCR.
While DRAs do not participate directly in any market, they can be mapped to DRRs that participate in the energy and reserve markets. When mapping DRAs, please note the following conditions:
- Individual DRAs greater than 5 megawatts (MW) cannot be aggregated and must be associated with their own DRR.
- Individual DRAs less than 5 MW each can be aggregated in a DRR, and this DRR can be greater than 5 MW.
- All DRAs mapped to a DRR must be within the same dispatch zone and reserve zone.
Related trainings will be made available on the Training Materials webpage.