Demand Side Bidding. Final Report

This document sets forth the final report for a financial assistance award for the National Association of Regulatory Utility Commissioners (NARUC) to enhance coordination between the building operators and power system operators in terms of demand-side responses to Location Based Marginal Pricing (LBMP). Potential benefits of this project include improved power system reliability, enhanced environmental quality, mitigation of high locational prices within congested areas, and the reduction of market barriers for demand-side market participants. NARUC, led by its Committee on Energy Resources and the Environment (ERE), actively works to promote the development and use of energy efficiency and clean distributive energy policies within the framework of a dynamic regulatory environment. Electric industry restructuring, energy shortages in California, and energy market transformation intensifies the need for reliable information and strategies regarding electric reliability policy and practice. NARUC promotes clean distributive generation and increased energy efficiency in the context of the energy sector restructuring process. NARUC, through ERE's Subcommittee on Energy Efficiency, strives to improve energy efficiency by creating working markets. Market transformation seeks opportunities where small amounts of investment can create sustainable markets for more efficient products, services, and design practices