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Committee hears first reading of demand response bill that would require PUCO oversight, opt-in protections and PJM market participation
Summary
House Bill 427, introduced and amended in committee, would set guardrails for voluntary demand response programs: opt-in enrollment, right to override, PUCO cost-effectiveness review and a three-year PUCO report; sponsors said programs can lower peak demand and bid aggregated reductions into the PJM capacity market.
The House Energy Committee held the first hearing on House Bill 427, a measure to formalize guardrails for voluntary demand response programs and expand the ability of utilities and competitive retail electric service providers to bid aggregated demand reductions into the PJM capacity market.
Representative Klopfenstein, the bill sponsor, introduced the measure and explained it is designed to address rising electric costs and grid reliability by modernizing demand-side tools rather than creating new mandatory programs. “Demand response programs allow customers to voluntarily agree to small temporary adjustments such as raising the thermostat by a degree or 2 or cycling off appliances like water heaters,” Representative Klopfenstein said. “These programs are completely voluntary.”
Key provisions and sponsor statements
Spons…
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