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SPP.org 1 DRCC June 2008 National Town Meeting SPP Regional Transmission Organization Update SPP RTO Update on DR Developments SPP has three organizational units working on various aspects of demand response: Demand Response Task Force Customer Response Task Force Cost Benefit Task Force SPP.org 3 SPP RTO Update on DR Developments • Demand Response Task Force (DRTF) The purpose is to incorporate demand response into SPP’s real-time energy imbalance market. This market was successfully implemented on February 1, 2007. A Protocol Revision Request (PRR) has been drafted and still is in committee review at SPP. Variable Dispatch Demand Response - offer and deployment identical to current generation resources Block Dispatch Demand Response - offer is for fixed MW blocks at a price SPP.org 4 SPP RTO Update on DR Developments Customer Response Task Force (CRTF) Conduct a "State-of-the-art" (within SPP) DR survey & dissemination of such; This is in process and Lawrence Berkeley National Laboratory is providing guidance and analysis Provide for Member education as to potential benefits and institutional barriers; An educational forum for SPP’s Members, Board, and State Regulators is being planned for July 2008. Conduct an analysis of the discontinuities between wholesale and retail markets as to DR; and Conduct an analysis of the interplays of DR with performing future benefit/cost analyses. SPP.org 5 SPP RTO Update on DR Developments • Cost Benefit Task Force (CBTF) The CBTF is coordinating with an independent third party consultant (Ventyx) in development of a cost – benefit analysis that will determine the projected overall costs and benefits to the SPP members of a Day-Ahead Market (DAM) and Ancillary Services Markets (ASM), both separately and jointly. One of several prime objectives of the cost – benefit study is to seek ways to increase participation by demand response resources in SPP markets. SPP.org 6 William L. Wylie, PE Executive Director 501-614-3200 [email protected]