Direct Testimony of Thomas M. Hildebrand - Consumer Advocate ...
Direct Testimony of Thomas M. Hildebrand - Consumer Advocate ...
Direct Testimony of Thomas M. Hildebrand - Consumer Advocate ...
You also want an ePaper? Increase the reach of your titles
YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.
O h Load Red1<br />
tion in the Top 100 Hours ii<br />
i 324DRI Zones"<br />
Benefits<br />
Caveats<br />
S7-20 Million<br />
(enerp only)<br />
(1-2% price<br />
reduction in<br />
curtailed hoursj<br />
n a<br />
- Capacity price decrease<br />
due to reduced demand<br />
- Enhanced competitiveness<br />
in energy and capacity<br />
markets<br />
- Real-time vs. day-ahead<br />
- Value <strong>of</strong> reduced volatility<br />
- Insurance against extreme<br />
events<br />
- Avoided T&D costs<br />
ia<br />
- Probably significantly<br />
<strong>of</strong>fset in long-run<br />
equilibrium as capacity<br />
and capacity prices<br />
adjust, "long-run''<br />
might not be so long<br />
- Load shifting and<br />
demand elasticity<br />
<strong>of</strong>fset some benefit in<br />
short-term<br />
- Based on simplifying<br />
assumpbons regarding<br />
the value <strong>of</strong> load that<br />
is curtailed<br />
n. a<br />
nia<br />
- Based on generic<br />
long-run cost <strong>of</strong><br />
avoided capacity<br />
- Ignores cost <strong>of</strong><br />
equipment and<br />
demand response<br />
program<br />
administratron<br />
S7-20 MiUion<br />
- Additional benefits to noncurtailed<br />
load could be<br />
large<br />
- Includes both the solid<br />
economic efficiency<br />
gains to curtailed load<br />
and the less robust<br />
benefits to noncurtailed<br />
loads<br />
34<br />
Quantifiing Demand Response Benefits in PJM. Prepared bs- the Brattle Group (Jan. 29. 2007)<br />
:$ ~~'i\.e!ier;etiCS.crJin, rsndri. pdts- RrattleGr~!inRecori.Ddl'<br />
15
Change language