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Ali Vojdani - IEEE

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DR Rewards• DR is critically important• To bridge the grim reserve margin picture in US (135 GW New Generation required,57 GW planned)• To avoid the unacceptable price volatility we see in wholesale markets today• To remedy the abysmal asset utilization in the utility industry• DR is a viable resource• E.g., 7000 sites representing 6 GW in PJM Interconnection today• Many customers are willing to participate• Aggregators have been willing and able to provide curtailment services• DR is economical• EG., BGE estimates that the capital cost of DR is at $165/kW; 3-4 times cheaperthan the cost of installing new peaking generation, which is around $600-800/kW.• Many other benefits, including• Green• National security• New jobs• Congestion management in grids• Protecting equipments in a SmartGrids3 Proprietary

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