Maximizing Energy Management Benefits for New York Businesses

New York’s businesses face a dual challenge: rising energy costs and the growing urgency to reduce carbon emissions. Demand response and energy management solutions provide an effective way to tackle these issues, enabling organizations to cut expenses, improve operational flexibility, and contribute to a sustainable future. 

The Importance of Energy Management in New York

• Rising Energy Costs: New York consistently ranks among the states with the highest electricity prices. 

• Grid Reliability: With a growing reliance on renewable energy sources, ensuring grid stability during peak demand is critical. 

• Sustainability Goals: State initiatives like New York’s Climate Leadership and Community Protection Act (CLCPA) and Local Law 97 emphasize reducing emissions and increasing renewable energy use. 

What is Demand Response?

One of these methods for better energy management, and a win-win for businesses and the grid is demand response. Demand response programs incentivize businesses to reduce or shift energy usage during peak periods. By participating, organizations can earn revenue, lower operational costs, and help maintain grid stability. Generally, there are a few types of Demand Response programs that clients can participate in, depending on where they are located. Understanding what is available and how your business can take advantage of each one is crucial to maximize your potential. Below are a few examples of the value DR programs provide the New York grid with today: 

• Emergency Response: Reduce usage during grid emergencies. 

• Capacity Programs: Shift energy consumption when prices are high. 

• Ancillary Services: Support the grid by providing services like frequency regulation.

Demand Response Programs Available in New York 

New York businesses have access to a range of demand response programs through the New York Independent System Operator (NYISO) and local utilities. These programs are designed to help participants optimize their energy use while supporting grid reliability. 

Special Case Resources (SCR)

Overview: Help maintain grid stability during emergencies, such as extreme weather events or unexpected equipment failures. This program helps ensure adequate energy supply during peak demand seasons, especially in summer and winter. 

How It Works: Participants agree to reduce or curtail energy usage when the grid is under stress, often within a specific notification period (e.g. 30 minutes). 

DER Program Model (Formerly Demand Side Ancillary Service Program DSASP)

Overview: Support real-time grid operations by providing services like energy market participation, frequency regulation, and spinning reserves to provide needed grid support. 

How It Works: Businesses use automated controls, battery storage, or backup generation to adjust load dynamically, helping balance supply and demand on the grid. 

Utility-Sponsored DR Programs

Offered By: Local utilities like Con Edison, PSEG, or National Grid. 

Programs Include: 

• Commercial Demand Response Program (CSRP): Focused on peak load reduction for commercial and industrial customers. 
• Distribution Load Resource Program (DLRP): Incentivizes behind-the-meter resources like batteries and solar PV to participate in demand response. 

How It Works: These programs vary by utility but often offer additional incentives for customers participating in both NYISO and utility programs, which provide notice a day-ahead of an event occurring.  

Benefits of Demand Response and Energy Management

Cost Savings: Lower electricity bills through reduced demand charges and participation incentives. 

Resilience: Build operational flexibility to adapt to market and environmental changes. 

Sustainability: Align with New York’s clean energy goals and demonstrate corporate responsibility. 

Program Availability and Participation Requirements

Who Can Participate? 

• Commercial, industrial, and institutional customers with flexible energy loads. 

• Facilities with backup generators, energy storage systems, or automated controls often have an advantage. 

Geographic Considerations 

Programs are available across the state, with specific programs available based on where your facility is located. Rodan Energy will help you maximize your earning potential based on program availability.  

Source: Research Gate. (n.d.). Figure 1. Demand zones of the NYISO power market.

Enrollment Process 

Businesses typically enroll through a demand response aggregator like Rodan Energy. Aggregators help manage program compliance, track performance, and maximize financial returns. 

How Rodan Energy Can Help Businesses

At Rodan Energy, we specialize in client focused energy management solutions. We provide a comprehensive assessment and the following benefits: 

• Custom Solutions: Tailored demand response and peak load management strategies. 

• Expert Guidance: Industry expertise to help you navigate NYISO programs and maximize benefits. 

• Save on Costs: Minimize exposure to high prices during peak demand periods. 

• Earn Revenue: Receive financial incentives for reducing consumption when it is needed. 

• 24×7 Support: Rodan Energy’s team will guide you every step of the way. 

• Increase Sustainability: Join the movement toward a resilient, sustainable energy future 

• Energy Monitoring: Advanced tools to monitor and optimize your energy use. 

How to Get Started

If you are interested in earning additional revenue all while supporting your community and grid through demand side management, reach out to see how Rodan Energy can help your business take advantage of the available programs. Getting started is easy where organizations of all shapes and sizes can start earning revenue and save on energy costs. To see how much you can earn, reach out to an expert today!