❌ HB427
Authorize voluntary demand response program for certain customers
Summary
The bill authorizes voluntary demand response programs for residential and small commercial customers, allowing electric distribution utilities to reduce demand at peak times to enhance grid reliability and potentially lower customer rates. Customers may override the utility's actions during these events, and the programs must be approved by the public utilities commission for cost-effectiveness. Utilities can compensate participating customers and bid demand reductions into the capacity market.
Rationale
The bill introduces government oversight and regulation of energy demand response programs, which may conflict with Libertarian principles of minimal government intervention in markets. However, it allows for voluntary participation, which aligns somewhat with LPO's support for free markets.
Risks and Concerns
- Increased government control over energy markets
- Potential for cronyism in program implementation
- Restrictions on customer autonomy if rules are overly stringent