IESO announces results of Demand Response Auction
December 21, 2017
The IESO’s 2017 Demand Response (DR) Auction has resulted in increased consumer participation and lower prices.
The auction is an annual competitive process through which participating demand-side resources, such as residential, commercial and industrial consumers, are selected to be available to reduce their electricity consumption as needed, in this case during the summer of 2018 and winter of 2018/19.
Thirty-five organizations were registered as auction participants, more than double the number from the 2015 auction. The successful proponents included six new participants who represent a mix of residential, commercial and industrial DR resources. This is the second year that residential homeowners, participating through an aggregator, were successful in the auction.
The average annual clearing price is $76,047/MW, a decrease of 1.6 percent from last year and 16.6 percent lower since the first auction in 2015. The 2017 auction cleared 570 megawatts (MW) for the summer commitment period and 712 MW for the winter commitment period.
The next auction will be held in December 2018, for delivery of DR capacity between May 2019 and April 2020.