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What is demand response?

Demand response programs compensate facilities for reducing load during grid events. If you’re evaluating providers or programs, here’s how Rodan manages participation end-to-end.

Download the demand response program brochure

Who it's for

Built for C&I facilities, municipalities and power producers with curtailable load, and the teams responsible for managing it.

  • Energy Manager
  • Energy Procurement
  • Energy Trader

What you get

Full program management from eligibility assessment through enrollment, dispatch coordination and settlement. No enrollment fees. Rodan handles registration, curtailment planning and payment validation, so your team stays focused on operations instead of program paperwork.

Market Availability

  • IESO
  • AESO
  • NYISO
  • PJM
  • MISO
Founded 2003750+ Managed Sites1.5 GW+ Under Management

Portfolio metrics are aggregated. Results vary by site.

Know exactly how your sites performed, event by event.

After every dispatch, Rodan delivers a detailed performance report showing how each site responded, how curtailment measured against baselines and what revenue to expect at settlement. No ambiguity about whether you hit your targets.

Pre-event notification

Get advance notice by text, email and phone so your team knows what’s coming and can prepare.

Post-event performance reporting

See how each site’s actual curtailment measured against baseline calculations and program targets.

Settlement-ready results

Understand your revenue position before settlement hits, with clear documentation of event performance.

FAQ

Demand Response FAQ's

When properly implemented, demand response programs are designed to minimize operational disruption. Curtailment strategies are developed around the operational realities of each facility so that production or service delivery is not significantly affected.

Rodan works closely with facility operators to identify processes that can be temporarily adjusted without impacting critical operations. These strategies may include reducing non-essential equipment usage or shifting energy-intensive processes outside of peak periods.

Because these strategies are pre-planned, facilities can respond quickly during events while maintaining operational stability.

Demand response participation can also complement broader strategies such as energy demand management, which helps facilities optimize electricity consumption patterns over time.

Operational performance during events can be monitored through FacilityIQ™, ensuring facilities understand exactly how demand response participation affects their operations.

With careful planning, demand response programs can generate revenue while maintaining operational continuity.

Demand response programs operate by coordinating electricity demand reductions across multiple participating facilities. When electricity demand approaches critical levels, grid operators issue dispatch signals requesting participating organizations to reduce energy consumption.

Facilities respond by implementing pre-defined curtailment strategies. These strategies may involve temporarily shutting down non-essential equipment, adjusting production schedules or using on-site generation to offset electricity consumption.

Once the event ends, facilities resume normal operations. Compensation is based on how much load reduction the facility commits to providing and how effectively it performs during events.

Rodan helps organizations develop curtailment strategies that minimize operational disruption while maximizing financial returns. Event coordination, dispatch communication and performance monitoring are all handled by Rodan’s operations team.

Facilities participating in demand response programs often integrate these strategies with energy demand management initiatives. Operational monitoring across sites can be supported by FacilityIQ™.

Demand response programs allow organizations to contribute to grid stability while generating revenue from flexible electricity demand.

Getting started with demand response programs typically begins with evaluating a facility’s electricity consumption patterns. Organizations review historical load data to determine how much electricity demand can be reduced during grid events.

Rodan performs a load analysis to assess whether a facility is a suitable candidate for demand response participation. This analysis identifies the level of demand reduction the facility can reliably deliver without affecting operations.

Once eligibility is confirmed, Rodan handles the enrollment process with the appropriate electricity market operator. Curtailment strategies are then developed so facility operators know exactly how to respond when events occur.

Facilities participating in demand response programs often combine these strategies with energy demand management initiatives to improve overall electricity efficiency.

Operational performance during events can be monitored through FacilityIQ™, ensuring facilities have full visibility into their participation.

With the right preparation, demand response programs can quickly become a valuable source of operational and financial benefit.

Rodan manages the entire lifecycle of demand response participation for its customers. This includes evaluating facility eligibility, enrolling sites in appropriate programs and coordinating dispatch events when they occur.

Rodan also develops curtailment strategies tailored to each facility’s operational requirements. These strategies ensure that energy reductions can be delivered without disrupting production or critical services.

During grid events, Rodan coordinates communication with facilities and monitors performance to ensure the required demand reduction is achieved.

After events occur, Rodan manages settlement validation and program reporting to ensure facilities receive accurate compensation.

Demand response programs are often part of a broader energy strategy that includes energy demand management initiatives and distributed energy resources such as energy storage systems.

Operational performance across facilities can also be monitored through FacilityIQ™.

Rodan provides the operational expertise required for successful demand response participation.

Revenue from demand response programs varies depending on the electricity market, the facility’s load profile and the amount of demand reduction it can provide during events. Facilities with larger electrical loads generally have greater revenue potential.

Payments typically include both capacity payments and performance payments. Capacity payments compensate facilities for committing to provide demand reduction during grid events, while performance payments reflect how effectively they reduce electricity usage when events occur.

In many markets, demand response programs provide consistent revenue streams for facilities capable of delivering reliable load reductions. These payments can offset electricity costs and improve the overall economics of facility operations.

Rodan helps organizations estimate potential revenue by analyzing their historical electricity consumption and identifying appropriate demand response programs.

Facilities participating in these programs often combine them with energy demand management strategies and demand side management initiatives. Performance across facilities can be monitored using FacilityIQ™.

Demand response revenue potential depends largely on operational flexibility and market conditions.

 

Demand response programs are electricity market initiatives that pay organizations to reduce electricity consumption during periods when the grid is under stress. Instead of increasing electricity generation, grid operators temporarily reduce demand by coordinating load reductions across participating facilities.

Large commercial and industrial facilities are ideal candidates for demand response because they typically operate equipment that can be adjusted or temporarily reduced without disrupting core operations. When a grid event occurs, participating facilities reduce electricity usage for a defined period and receive financial compensation.

Demand response programs benefit both grid operators and energy users. The grid becomes more stable during periods of high demand, while facilities can generate revenue from operational flexibility.

Rodan manages the full lifecycle of participation in demand response programs, including enrollment, dispatch coordination and settlement validation.

Facilities participating in these programs often combine them with strategies such as energy demand management and demand side management. Operational performance across facilities can also be monitored using FacilityIQ™.

Demand response programs are an increasingly important component of modern electricity markets.

During a demand response event, the grid operator signals participating facilities to temporarily reduce electricity consumption. These events typically occur when electricity demand is approaching critical levels or when grid reliability could be affected.

Facilities respond by implementing pre-planned curtailment strategies. These strategies may include reducing equipment usage, shifting production schedules or using on-site generation to offset electricity demand.

Rodan coordinates communication between grid operators and participating facilities during these events. Dispatch notifications are delivered to facility operators with sufficient time to implement curtailment strategies.

Performance is monitored during the event to ensure the facility delivers the expected demand reduction. Once the event concludes, normal operations resume.

Facilities participating in demand response programs often track performance using FacilityIQ™. Event signals may also be supported by peak forecasting tools such as PeakIQ™.

Demand response events are typically short in duration but play a critical role in maintaining grid stability.

Demand response programs are offered across multiple electricity markets in North America. Independent system operators and utilities administer these programs to maintain grid stability and ensure sufficient capacity during periods of high demand.

Major electricity markets offering demand response programs include IESO in Ontario, AESO in Alberta, NYISO in New York, PJM across several U.S. states and MISO across the Midwest.

Each market has its own program structures, eligibility requirements and compensation mechanisms. Understanding these rules is essential for successful participation.

Rodan helps organizations navigate these market requirements and enroll in programs that match their operational capabilities.

Facilities participating in these programs often combine demand response strategies with energy demand management initiatives. Operational performance across facilities can also be monitored using FacilityIQ™.

Participation in demand response programs allows organizations to support grid reliability while generating additional revenue.

Demand response programs are best suited for organizations that operate facilities with flexible electricity loads. These organizations can temporarily reduce energy consumption during grid events without affecting core operations.

Industries commonly participating in demand response programs include manufacturing, cold storage, data centers, municipalities and large commercial facilities. These organizations often operate equipment or processes that can be adjusted for short periods.

Facilities with large electrical loads are particularly strong candidates for demand response participation because even small percentage reductions in energy consumption can provide meaningful grid support.

Rodan works with organizations to evaluate their energy usage and determine whether their operations are suitable for demand response programs. This evaluation includes reviewing load profiles, operational schedules and potential curtailment strategies.

Facilities that participate in demand response programs often combine these strategies with energy demand management initiatives. Operational visibility across sites may also be supported through FacilityIQ™.

Participating in demand response allows organizations to transform operational flexibility into financial opportunity.

Still have questions? Contact our team

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