Demand response participants are seen as generators, or producers of electricity, because by reducing energy consumption, they are effectively increasing the available supply of electricity. There are currently several demand response products available in the ERCOT region, including programs administered by ERCOT and by utility companies. In 2017, peak demand was reduced by about 3.7% through utility-run demand response programs across the ERCOT grid, the largest amount achieved by any grid operator in the United States. However, demand response is still a largely untapped resource because not all utility companies have programs and the ERCOT programs are limited in scope . Issuing new rules supporting demand response is the logical next step in the face of more extreme temperatures.

Source: Forbes October 07, 2019 14:48 UTC