Lessons learned from smart grid enabled pricing programs

Dynamic pricing is often considered an essential part of demand response programs, particularly when considering the advent of new consumer-facing technologies, which will eventually reshape the relationship between utility and consumer. This paper presents and analyzes case studies of several dynamic pricing programs, including different proposed rates, enabling technologies and incentives. Program successes are evaluated based on a combination of peak load reduction, customer bill impacts and customer satisfaction. An analysis of lessons learned is provided on how various factors can affect the success, scalability and applicability of smart grid demand response programs.