What Is Demand Response?

Demand Response (DR) is a set of activities and strategies used to manage electricity demand by providing financial incentives to reduce or shift electricity use during peak periods. DR programs are typically sponsored by utilities or grid operators as a way to reduce congestion on the electric grid, lower energy costs, and improve power quality and reliability.

In general, DR programs work by providing financial incentives (in the form of rebates, credits, or other forms of compensation) to customers who agree to curtail their electricity usage during peak demand periods. Customers can sign up for DR programs in advance, or they can be called upon to participate in real-time as needed.

DR programs can be used to target specific types of customers, such as large industrial customers, or they can be open to all customers served by a particular utility. DR programs can also be designed to target specific types of load, such as air conditioning, or they can be open to all types of load.

Related Posts

Ad Blocking

Ad blocking is the practice of using software to block advertising from appearing on websites. Ad blockers are usually used to improve web browsing sp…

View Definition

Ad Filtering

Ad filtering is the process of screening out or blocking ads that appear on websites, in email, or in other digital media. Ad filters can be implement…

View Definition


Advergaming is a type of advertising that involves incorporating advertising messages into video games. Advergaming can take a variety of forms, inclu…

View Definition


Advertainment is a blend of advertising and entertainment that is used to promote a product, service, or brand. The goal of advertainment is to create…

View Definition

Advertising Agency

An advertising agency, often referred to as a creative agency, is a business dedicated to creating, planning, and handling advertising and sometimes o…

View Definition

Advertising Age

Advertising Age (sometimes abbreviated as Ad Age) is an American newspaper and website covering the advertising and marketing industries. It publishes…

View Definition

More Videos