Trends in MISO Load Modifying Resource Availability: A 3-Year Comparison (2021–2024)

Historical data shows increase in 2-hour, 4-hour, and 6-hour notification LMRs but MISO is planning to ask FERC for approving LMR - Type II with 30 mins notification.

MISO will be filing a Load Modifying Resource (LMR) reform package (new name - Demand Response and Emergency Resources Reforms) in the first quarter this year.

MISO will be asking Market Participants to register LMRs that can respond within 30 mins notification time as LMR - Type II and all other LMRs that can respond within 6 hours notification time as LMR - Type I.

Source: MISO 12/17/2024 RASC

MISO will also be changing when LMRs will be triggered in the NERC Energy Emergency Actions (EEA) steps - as you can see from the chart below, LMR - Type I will be dispatched during the Warning stage and LMR - Type II will be dispatched during the Event Step 2. The idea is long lead time resources ie resources with longer notification times will be called upon first and resources with short lead times will be called upon during emergencies.

Source: MISO 12/17/2024 RASC

Due to these changes, I was curious regarding LMR availability. Here’s what I found¹ ²-

Changes in LMR Availability (2021–2024)

1. LMRs with 1-Hour Notification Times

   • December 2021: 898 MW (263 MW Demand Response (DR) + 635 MW Behind-the-Meter Generation (BTMG))

   • November 2024: 778 MW (450 MW DR + 328 MW BTMG)

   • Change: Decrease of 120 MW

     • DR increased by 187 MW, while BTMG decreased by 307 MW.

2. LMRs with 2-Hour Notification Times

   • December 2021: 2,068 MW (1,087 MW DR + 981 MW BTMG)

   • November 2024: 2,440 MW (1,297 MW DR + 1,143 MW BTMG)

   • Change: Increase of 372 MW

     • DR increased by 210 MW, and BTMG increased by 162 MW.

3. LMRs with 4-Hour Notification Times

   • December 2021: 1,272 MW (all DR)

   • November 2024: 1,321 MW (all DR)

   • Change: Increase of 49 MW.

4. LMRs with 6-Hour Notification Times

   • December 2021: 935 MW (531 MW DR + 404 MW BTMG)

   • November 2024: 1,368 MW (797 MW DR + 571 MW BTMG)

   • Change: Increase of 433 MW

     • DR increased by 266 MW, and BTMG increased by 167 MW.

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Summary

• Reductions: 1-hour notification LMRs saw a slight decrease of 120 MW, driven primarily by a decline in BTMG availability.

• Increases: 2-hour, 4-hour, and 6-hour notification LMRs all increased, with the most significant growth in the 6-hour category (+433 MW).

• Shift in Composition: DR resources increased across all notification times, while BTMG showed mixed trends (reducing for 1-hour but increasing for 2-hour and 6-hour notifications).

This analysis highlights an overall increase in the availability of LMRs with longer notification times, reflecting shifts in resource composition and operational strategies over the past three years.

However, MISO is seeking LMRs with 30-minute notification times to deploy during emergencies in the future. This raises questions about feasibility, as achieving shorter notification times may require significant changes in resource capabilities, technology investments, or market incentives. Balancing the need for rapid-response resources with current trends in LMR availability will likely pose a challenge for MISO.

1. Slide 30 here - https://cdn.misoenergy.org/202112%20Market%20and%20Operations%20Report620680.pdf

2. Slide 31 here - https://cdn.misoenergy.org/202411%20Market%20and%20Operations%20Report668321.pdf