1. The Regulatory Assistance Project 177 Water St. Gardiner, Maine USA 04345 Tel: 207.582.1135 Fax: 207.582.1176 50 State Street, Suite 3 Montpelier, Vermont USA 05602 Tel: 802.223.8199 Fax: 802.223.8172 Website: http://www.raponline.org Distributed Resources and Demand Response June 16-17, 2003 Harrisburg, PA

2. Distributed Energy Resources  Distributed generation (DG) –Small, modular power-generating technologies that can be combined with energy management and storage systems and used to improve the operation of the electricity delivery system, whether or not those technologies are connected to an electricity grid. DOE: http://www.eere.energy.gov/der/basics.html  Load management: short-term demand response  End-use efficiency: long-term demand response

3. Demand Response  All intentional modifications to the electric consumption patterns of end-use customers that are intended to modify the quantity (capacity and energy) or timing of customer demand on the power system. –New England Demand Response Initiative

4. Dimensions of Demand Response  Shorter-term demand response: load management and curtailment including economic and price responsive load programs  Longer-term demand response: end-use energy efficiency load reductions  Dynamic, or time- and location-sensitive, pricing –Typically requires more advanced forms of metering –Can affect demand in the both short and long terms  Demand response can serve all aspects of markets (energy, capacity, ancillary services, contingency, etc.)

5. Who We Are  Regulatory Assistance Project –RAP is a non-profit organization, formed in 1992, that provides workshops and educational assistance to state, federal, and foreign government officials on electric utility regulation. RAP is funded by the Energy Foundation and the US DOE. –Richard Sedano was Commissioner of the Vermont Department of Public Service 1991-2001 –Rick Weston was Economist and Hearing Officer with the Vermont Public Service Board from 1989-2000.

6. Who We Are  Energy and Environmental Analysis, Inc. –Professional services company focusing on energy markets and technologies –Distributed generation and CHP –Analysis of energy technologies and markets –Environmental policy analysis –Energy supply and demand modeling and forecasting –Joel Bluestein is President of EEA.