EATONTOWN, NJ: IPKeys Power Partners (IPKPP), a leading provider of Automated Demand Response (ADR) services across the USA, today issued a statement in support of the U.S. Supreme Court Decision that upheld the Federal Energy Regulatory Commission (FERC) Order 745 requiring organized wholesale energy market operators to pay demand response resources the full market price for energy and affirming FERC’s jurisdiction over demand response in the wholesale energy markets. Demand response will be paid the market price, known as the locational marginal price (LMP), when those resources have the capability to balance supply and demand as an alternative to a generation resource and when dispatch of those resources is cost-effective. “The U.S. Supreme Court’s upholding of this rule is a significant step in recognizing Demand Response as an important energy resource option that should be available to all consumers at a fair and equitable rate,” said Robert Nawy, Managing Director and CFO of IPKPP. “We worked closely with the Advanced Energy Management Alliance (AEMA) to present our position in support of FERC Order 745 and are pleased with the outcome.” IPKPP is a founding member of AEMA and Mr. Nawy serves on the AEMA Board.

“IPKeys Power Partners is continuously monitoring and taking action to support policies that contribute to the development of cost effective Demand Response resources on behalf of our customers and partners,” said Laurie Wiegand-Jackson, Senior Vice President of IPKPP. “Requiring the organized wholesale energy market to establish standards of compensation that value Demand Response resources as equivalent to traditional supply side resources will increase customer participation and encourage innovation in the energy market,” Ms. Wiegand-Jackson concluded.

In its opinion statement (http://www.supremecourt.gov/opinions/15pdf/14-840_k537.pdf), the U.S. Supreme Court identified that “wholesale market operators devised wholesale demand response programs, which pay consumers for commitments to reduce their use of power during these peak periods. Just like bids to supply electricity, offers from aggregators of multiple users of electricity or large individual consumers to reduce consumption can be bid into the wholesale market auctions. When it costs less to pay consumers to refrain from using power than it does to pay producers to supply more of it, demand response can lower these wholesale prices and increase grid reliability.” Order No. 745 requires market operators to pay the same price to demand response providers for conserving energy as to generators for producing it, so long as accepted bids actually save consumers money. The Court of Appeals for the District of Columbia Circuit vacated the Rule (FERC vs EPSA), holding that FERC lacked authority to issue the order and its decision was arbitrary and capricious. In this decision, the U.S Supreme court upheld FERC’s jurisdiction and stated that, “FERC engaged in reasoned decision making—that it weighed competing views, selected a compensation formula with adequate support in the record, and intelligibly explained the reasons for making that decision. Here, FERC provided a detailed explanation of its choice of LMP and responded at length to contrary views. FERC’s serious and careful discussion of the issue satisfies the arbitrary and capricious standard.”

About the Federal Energy Regulatory Commission (FERC)

The Federal Energy Regulatory Commission, or FERC, is an independent agency that regulates the interstate transmission of electricity, natural gas, and oil. FERC also reviews proposals to build liquefied natural gas (LNG) terminals and interstate natural gas pipelines as well as licensing hydropower projects. http://www.ferc.gov

About IPKeys Technologies & IPKeys Power Partners

ipkeys

IPKeys, an SBA Certified 8(a) and women owned company, is an emerging strategic partner in the DoD Federal, Commercial and Energy sectors, delivering expertise in the definition, development, integration, and deployment of Internet Protocol (“IP”) technology and communications systems. IPKeys expertise includes Network and Telecommunications Engineering; Systems Engineering and Integration; Cyber Security; Systems Acquisition, Production and Fielding; Modeling and Simulation; and Energy/Smart Grid Engineering Services.

Incorporated in March 2005, IPKeys is headquartered in New Jersey and has locations in California, Maryland, and Virginia. IPKeys’ mission is to assist the customer in integrating the highest mission-appropriate level of secure information and communications systems. We enable users to efficiently access, communicate, integrate and apply data solutions to support their mission objectives. IPKeys provides mission relevant solutions grounded in our in‐depth knowledge of current force systems, emerging technologies, present and developing standards, and Future Force infrastructure requirements. Our expert staff possess in‐depth experience and knowledge with DoD enterprise systems and frameworks, strategic and tactical Warfighter communities, architectures, cutting-edge information, and security management technologies. We leverage this expertise and our corporate experience in the delivery of value added enterprise information technology and information security solutions to the federal government.

IPKeys Power Partners, LLC is a leading provider of Demand Response resources across the United States. We enable our customers to participate in a range of programs including Capacity, Reserves and Energy. Our DR solutions include advanced metering with web-based reporting tools for all our customers. IPKeys Power Partners provides engineering audits, automation, and controls for customers who want to automate their demand response.

For additional information regarding IPKeys, please contact Laurie Wiegand-Jackson at 732-778-1701 or email to lwjackson@ipkeys.com.