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Choice Utility Proposes Recurring Incentive Payments For Residential Demand Response
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As part of a proposed multi-year reliability plan at the PUC of Ohio (a proceeding similar to a rate case), Dayton Power & Light (AES Ohio) has proposed a new residential demand response program that would include recurring incentives in addition to a rebate for an enabling device
Under the proposed residential DR program, participating customers would be offered a number of eligible demand response capable measures (i.e. smart thermostat, etc) through an online marketplace or through interaction with a third-party implementation contractor
Depending on the measure, customers would receive a one-time, upfront rebate between $50-$100 for purchasing a demand response capable device
Notably, DP&L proposes that customers would additionally receive recurring participation incentives of up to $20 per demand response season (at $5 per month for the months of June through September).
Customers would be notified ahead of DR events, and would have the ability to opt-out of DR events
DP&L would contract with a third-party program implementer to deliver the Residential DR program. Said to be consistent with other vendor-implemented customer programs from DP&L, interested participants will enroll in the program via an online marketplace and/or application process or through direct outreach from a program representative.
DP&L also proposed a new Interruptible Demand Response (IDR) program targeting an estimated 41MW of non-residential customer-controlled DR capacity over a three-year program period.
The proposed IDR program would require participants to make an upfront, written commitment to reduce their load by a pre-determined and tested amount, based on the customer's historical demand under normal operating conditions
IDR Participants would receive capacity and energy credits through the program in exchange for AES Ohio's ability to call on participants to reduce their load during DR events initiated by AES Ohio.
The capacity credit will be calculated based on the amount of available curtailable capacity multiplied by $3.50 per kW
In any month where a curtailment event is called, the participating customer will receive an energy credit equivalent to $0.10 per kWh for energy saved during the curtailment period. This will be calculated based on the expected energy that would
have been used absent the curtailment event
DP&L also proposed to continue an existing Residential Off-Peak Incentive Program, which features off-peak EV charging incentives
Residential customers participating in this program will remain with their generation service provider (i.e., the Standard Service Offer ("SSO") or Competitive Retail Electric Service ("CRES") provider) and will be eligible to receive a recurring incentive of $0.05 per kWh for charging their EV between the hours of 8PM and 8AM.
Additionally, these Off-Peak Incentive Program customers are eligible to receive a one-time, $150 rebate for qualifying, Level 2 charging equipment.
Case 25-0960-EL-ATA et al.
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November 10, 2025
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Copyright 2025 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com
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