Standards for Business Practices and Communication Protocols for Public Utilities

The Federal Energy Regulatory Commission (Commission) is amending its regulations which establish standards for business practices and electronic communications for public utilities to incorporate by reference updated business practice standards adopted by the Wholesale Electric Quadrant of the North American Energy Standards Board to categorize various products and services for demand response and energy efficiency and to support the measurement and verification of these products and services in organized wholesale electric markets. These standards provide common definitions and processes regarding demand response and energy efficiency products in organized wholesale electric markets where such products are offered. The standards also require each regional transmission organization (RTO) and independent system operator (ISO) to address in the RTO or ISO's governing documents the performance evaluation methods to be used for demand response and energy efficiency products. The standards thereby facilitate the ability of demand response and energy efficiency providers to participate in organized wholesale electric markets, reducing transaction costs and providing an opportunity for more customers to participate in these programs, especially for customers that operate in more than one organized market.