Demand Response 

MISO recognizes the value of Demand Response as a mechanism for improving market efficiency, as an opportunity to help reduce the carbon footprints of our Market Participants, and as a vehicle for Market Participants to manage their load.

Over the past five years we have been working with stakeholders through the Demand Response Working Group to incorporate Demand Response Resources into our Markets.

Learn how our Demand Response initiative brings value to MISO
Resource Adequacy Subcommittee (RASC) 

Demand Response Resources (DRRs)

Utilizing DRRs reduces the amount of load that would need to be served by higher cost resources. DRRs participate in our market every day, lowering the cost of energy for all consumers. DRRs can qualify as planning resources to be used to meet a Market Participant's Planning Reserve Margin (PRM) requirements. 

Register DRRs with MISO
Apply DRRs to Planning Reserve Requirements

Net Benefits Price Threshold

In Order 745, the Federal Energy Regulatory Commission (FERC) set out a rationale describing the market conditions under which reductions in load provide net benefits to the energy market.  Pursuant to that Order, MISO developed a methodology to determine the required monthly price threshold. Access the current and previous months' price threshold via the "Net Benefit Price Threshold" link below.  

Net Benefit Analysis Report
Net Benefit Price Threshold

Load Modifying Resources (LMRs)

LMRs serve an important function in the provision of capacity services by reducing load, thereby reducing the amount of other resources needed during emergencies. Using LMRs to "serve" these loads, rather than building capacity, results in significant savings. LMRs qualify as planning resources to be used to meet a Market Participant's Planning Reserve Margin requirements.

Register LMRs with MISO

Emergency Demand Response (EDR)

The idea of emergency demand response was created in an effort to encourage greater participation by load in managing capacity during emergency conditions. These resources provide a valuable service by reducing the costs to all market participants during emergency conditions and are compensated for their services based on their offers and the Locational Marginal Price.

Register EDRs with MISO - Supplemental Registration
Schedule 30 - Emergency Demand Response Initiative

Aggregators of Retail Customers (ARCs)

ARCs represent a business-oriented effort to obtain greater participation from customers capable of providing demand response. ARCs allow for the aggregation of resources over relatively large areas, reducing costs and increasing the economic incentive for potential Market Participants. FERC approval of MISO’s October 2009 filing on the incorporation of ARCs into our markets allows for ARC participation as sanctioned by each individual state.

ER09-1049-002 - ARC Filing

Energy Efficiency (EE)

Nearing entry into our panoply of demand-related initiatives, Energy Efficiency is the permanent reduction in electricity while maintaining a comparable quality of service to the end-use customer. Energy Efficiency can also be used to meet Planning Reserve Requirements.

Register EEs with MISO using the MECT

Price Responsive Demand (PRD)

While simple in concept, PRD has been proven difficult to bring to fruition.  Most retail rates do not reflect the hourly changes evident at the wholesale level, so customers are insulated (and often unaware) of the true cost of supplying their energy needs.  PRD, when successfully implemented, will allow customers to respond to granular rate changes.  PRD is complementary to the MISO Smart Grid efforts.  The MISO Smart Grid is a more intelligent grid capable of passing the necessary information between supplier and consumer.  The Smart Grid technologies ensure greater resource utilization for an increasingly efficient, reliable and safe transmission network.

Learn more about MISO's Smart Grid Initiative.


Learn more about Demand Response by registering for a training session or review our self-guided study materials.

Aggregator of Retail Customers (ARC) FAQ

Demand Response Primer and Training Guide

Demand Response Tool User Guide

Demand Response Tool Web Services Specifications

Module E Capacity Tracking Tool User's Guide

 Related Links